Saudi PIF agrees to buy 30 pct of Tamimi supermarket’s share capital

Saudi Arabia’s Public Investment Fund (PIF) has agreed to purchase 30 percent of the shares of leading Saudi supermarket chain Tamimi Markets.

The investment by way of a capital increase and subscription for new shares is expected to accelerate the company’s plan to expand into other countries in the Gulf region.

PIF’s investment adds Tamimi to its large portfolio that includes a stake in online retailer Noon.com, Halal Products Development Company, and fast food franchisee Americana Restaurants International PLC.

It is part of the PIF’s wider strategy to support Saudi companies and develop key sectors in the Kingdom, the company said in a statement.

PIF also aims to support Tamimi in a potential upcoming initial public offering (IPO).

Tamimi has been operating in Saudi Arabia for more than 40 years and has more than 100 stores across the Kingdom.

“PIF’s partnership is a significant vote of confidence in Tamimi Markets and a step forward for the Company, as we look to implement our ambitious growth plans,” Tariq al-Tamimi, Chairman of Tamimi Holding said in a statement.

“Our investment aligns with PIF’s strategy to create Saudi national champions in key sectors that contribute to the diversification of the economy,” added Majed al-Assaf, Head of Consumer Goods and Retail, MENA Investments Division at PIF.