May 21, 2024
SBI Holdings Co., Ltd.
SBI Holdings Co., Ltd. (Headquarters: Minato-ku, Tokyo; Chairman and President: Yoshitaka Kitao) has formed a business alliance with National Technology Group (Headquarters: Saudi Arabia; Chairman: Mohammed Rashid Al Ballaa; hereinafter “NTG”), which is a major information and communication technology (ICT) company in Saudi Arabia and develops fintech businesses, to form an ETF to invest in the Saudi Arabian market I would like to inform you that we have concluded a basic agreement relating to it.
NTG is a major information and communication technology (ICT) company established in 1984 in Saudi Arabia with sales of 2 billion riyals (approximately 80 billion yen) and more than 3,500 employees. It has more than 20 ICT specialty subsidiaries under its umbrella in Saudi Arabia, the Gulf Cooperation Council (GCC), Egypt, Pakistan, Sri Lanka, and Turkey, and is also developing fintech businesses. Furthermore, GTN Group Holdings (hereinafter “GTN”) is a subsidiary of NTG and provides a global trading and investment platform for institutional investors with hubs in the Middle East, the United States, the United Kingdom, Singapore, and South Africa.
The Kingdom of Saudi Arabia is experiencing economic transformation and rapid growth that is expected to continue for decades, inspired by Saudi Arabia's “Vision 2030.” Furthermore, the Saudi Arabian Stock Exchange is one of the world's largest exchanges, combining excellent technology and a regulatory environment. In such an environment, ETFs reflecting the performance of the Saudi Arabian market are expected to be attractive products for Japanese investors, so we have now concluded a basic agreement with NTG regarding the formation of ETFs.
Based on this basic agreement, SBI Group and NTG will consider a business alliance in the following areas.
Note that the details of the business alliance are not limited to the above items, and there is a possibility that it will expand due to mutual agreement between the SBI Group and NTG.
Until now, in addition to coestablishing investment funds with leading local partners in the Middle East region and implementing investments, we recently concluded a basic agreement with Aramco, a global comprehensive energy and chemical company in Saudi Arabia in 2023/12, and established SBI Middle East as the SBI Group's Middle East base in the capital Riyadh in 2024/2, further expanding our business in the Middle East region, such as establishing SBI Middle East as the SBI Group's Middle East base in the capital Riyadh We are promoting it.
Through our partnership with NTG, we aim to build a strong and flexible cooperative relationship between the two, and will contribute to the development of cooperative relationships in the economic field between Japan and Saudi Arabia.
| (1) Name | National Technology Group |
| (2) Location | Saudis |
| (3) Title and name of representative | Chairman, Mohammed Rashid Al Ballaa |
| (4) Business description | Information and communication |
| (5) Year of establishment | 1984 |
| (6) URL | https://ntg.com.sa/ |
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