PROJECTS: RSG secures $1.73bln for developing AMAALA tourism destination

Staff Writer

Saudi Arabia’s Red Sea Global (RSG) has secured a 6.5 billion Saudi riyal ($1.73 billion) credit line to develop the Amaala tourism destination.

Saudi-listed Riyad Bank led the funding as the sole underwriter, the developer said in a statement.

The Saudi Investment Bank (SAIB) and Bank Albilad, also listed on the Saudi exchange, were mandated lead arrangers.

The loan includes a mix of conventional and Islamic financing. The facility aligns with RSG’s green loan framework, established in 2021 when it secured private funding from a consortium of four banks for The Red Sea destination.

This is the third time RSG and Riyad Bank have partnered. The first was a green loan facility in 2021, followed by SAR 2 billion in debt financing for a joint venture with Kingdom Holding Company to construct the Four Seasons Resort on Shura Island, which is set to open later this year.

Amaala, situated at Triple Bay, is expected to open this year, with more than 1,400 hotel rooms across eight different resorts.  

(Writing by P Deol; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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