Kingdom Holdings arranges $2.2b for world’s tallest building
Islamic fund will also develop the 1.5 sq km first phase of the Jeddah Economic City project
Dubai: Saudi Arabia’s Kingdom Holding, the investment firm of billionaire Prince Al Waleed Bin Talal, said its affiliate Jeddah Economic Co (JEC) had arranged financing to complete construction of the world’s tallest building.
JEC agreed with Alinma Bank to establish an 8.4 billion riyal ($2.2 billion; Dh8.21 billion) real estate development fund that will finish work on the $1.2 billion Kingdom Tower in Jeddah, Kingdom Holding said in a statement on Sunday, 26 floors of which have been built so far.
The Islamic fund will also develop the 1.5 square kilometre (0.6 sq miles) first phase of the Jeddah Economic City project, an urban development scheme sprawling over 5.3 sq km. In addition to Kingdom Tower, the scheme is to include Saudi Arabia’s largest shopping mall.
Kingdom Holding owns about a third of JEC, while Jeddah-based Abrar Holding owns a similar stake. The main contractor for the tower, Saudi Binladin Group, and Kilaa Jeddah Co each own about 16.6 per cent.
Alinma Bank will finance the new fund, which is to be managed by Alinma Investment, Kingdom added without elaborating on how the money would be raised.