Three prominent Saudi companies have formed a consortium to acquire the SAR8.4 billion ($2.2 billion) Alinma Jeddah Economic Fund, established in 2015 to fund the development of the Jeddah Economic City (JEC), including its centrepiece, the Jeddah Tower.
Jeddah Tower is expected to be over 1,000 metres tall, making it the world’s tallest. It is set to be constructed within the Obhur district in the north of the city, which will measure an estimated 1.7 million square metres.
The consortium that will now own the tower comprises Kingdom Holding Company, Sumou Holding Company, and Jeddah Economic Company (JEC), an affiliate of Kingdom Holding.
Kingdom Holding will hold a 40% stake in the newly established fund, valued at SAR 6.8 billion ($1.8 billion), according to a filing to the Tadawul stock exchange.
The estimated total cost of JEC sits at $20 billion with Jeddah Tower’s cost estimated at $1.23 billion, according to past media reports.
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