TBS Holding Partners with Shahia to Bring Bakery Revolution to Saudi Arabia

Looks like the bakery sector is about to heat up nicely in Saudi Arabia! TBS Holding—an Egyptian food and beverage giant operating more than 120 branches across several brands and markets—is setting its sights squarely on Saudi territory. They've inked a strategic partnership with Shahia Investments, a Saudi firm known for its presence in food and drink production and distribution.

This new venture kicks off with building a state-of-the-art bakery plant inside the Kingdom, slated to open its doors in 2026. Utilising cutting-edge tech, they'll whip up a range of fresh and frozen bakery products, aiming to improve quality and cut logistical costs. So soon enough, residents across Saudi Arabia could be tucking into freshly baked pastries and breads, straight from this innovative facility.

The partnership has been enthusiastically welcomed by Saud Alathel, Shahia Investments' CEO, who highlighted the far-reaching benefits: "This partnership will contribute to strengthening our market share both inside and outside the Kingdom, through our strong supply chain network, distribution infrastructure, and deep knowledge of regional and international markets."

On the other side, Sameh El-Sadat, Chief Investment Officer and one of TBS Holding’s co-founders, called the Saudi move "a new phase of growth," saying it'll help deliver high-quality baked goods tailored specifically to Saudi tastes and aspirations. TBS certainly seems serious about tapping into the massive demand for premium, tasty bread in the region.

Interestingly, the agreement isn't just about enhancing the Saudi sector; it promises to deliver broader economic goodies all round. It's expected to bolster the Egyptian economy by boosting the influx of foreign curency into Egyptian coffers. Additionally, both countries foresee boosted economic growth and a stronger ability for local markets to fulfil consumer needs independently.

Ayman Abbas, a key partner in TBS Holding, noted that past expansions into Saudi Arabia have typically paid off handsomely. "The current Saudi economic climate is a golden opportunity for companies looking to spread their wings further," he explained thoughtfully.

Making sure everything goes smoothly behind the scenes, Saudi Arabian regulators like the Ministry of Investment have lent their firm support to the project, helping grease the wheels and simplify investment procedures. An impressive team of advisory specialists also guided the process—including financial advice from Gen-X, financing courtesy of Beltone Holding, and mediation from Bayt Alnomow Financial. Plus, legal heavyweights K&L Gates and Al-Zamil & Al-Kharashi Law Firm provided crucial counsel to TBS and Shahia respectively.

All in all, this new chapter marks a fascinating step forward for TBS Holding as they aim to sprinkle a bit of their Egyptian bakery magic onto the thriving Saudi market. Surely something delicious for Arageek readers and everyone else to look forward to!