Alat, a subsidiary of Saudi Arabia’s Public Investment Fund (PIF), and Germany-based TK Elevator have received regulatory clearance to complete their EUR 160 million joint venture and equity transaction, according to a statement released by Alat.
The deal, first announced in February 2025, includes a 15% equity stake in TK Elevator by Alat and the creation of a new manufacturing and service joint venture headquartered in Saudi Arabia. The new entity will produce elevators, escalators, and moving walkways for the local and regional market.
This is TK Elevator’s first manufacturing operation in Saudi Arabia. The venture will also act as the company’s sales and service arm in the Kingdom. The facility will be supported by a product development centre and training hub, linked to TKE’s SEED Campus, and will form part of a broader technical services team offering support and third-party maintenance under the firm’s Universal Service platform.
The partnership aligns with PIF’s wider goals to expand advanced manufacturing capacity in the country and contribute to localisation targets under Saudi Arabia’s Vision 2030 strategy. It also aims to supply equipment for the Kingdom’s large-scale development projects and broader MENA export markets.
This is Alat’s third strategic transaction following deals with SoftBank and Lenovo. All three partnerships are positioned to support the Kingdom’s push to build a globally competitive industrial base with an emphasis on technology transfer and export-led growth.
