| Element List | Explanation |
|---|---|
| Introduction | Knowledge Economic City (KEC) has signed a joint venture agreement with Archipelago Indonesia Company to establish a new company specializing in hotel management and operation. |
| Memorandum Signing Date | 2025-12-01 Corresponding to 1447-06-10 |
| Counterparty | Archipelago International Indonesia Company |
| Memorandum Subject | The Joint Venture Agreement governs the relationship between KEC and Archipelago International Company as equal partners in the new joint venture company. The primary objective of the JV company is to manage and operate hotels within KEC. The company may also engage in other hotel management activities within the Kingdom of Saudi Arabia as mutually agreed by the joint venture partners. |
| Memorandum Duration | The duration of the joint venture will be determined in the Articles of Association of the new company upon establishment. |
| Related Parties | No related parties. |
| Financial Impact | The financial impact on KEC will be reflected in its share of profits from operating revenues generated through hotel management. The exact value and timing of this impact will be determined following the company’s incorporation and commencement of operations. |
| Additional Information | Started in 1997, Archipelago International Indonesia is Southeast Asia's largest privately owned hotel management group, with more than 45,000 rooms and residences in over 200 locations across Southeast Asia, Latin America, the Caribbean, the Middle East, and Oceania. A trusted hotel company with a long track record and award-winning brands including Aston, The Royal Alana, Huxley, Kamuela, Avanika, Harper. Archipelago is now moving into other markets across the globe such as Australia, the Middle East, and South America. |
Through this partnership, Knowledge Economic City aims to build self-reliance in the field of hotels and hospitality facilities management and operation and to build a new brand to ensure quality and sustainability for its large hospitality portfolio.
The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.