Hello Smashi Business Readers! 🌟

Today we are discussing,

• 🏙️ Abu Dhabi Surpasses Oslo as the Global SWF Capital 🌍

• 🇸🇦 Saudi PIF Acquires 40% Stake in Selfridges 🏬

• 🏠 Ejari Raises $14.65M to Scale Up Saudi Arabia’s Rent Now, Pay Later Market 🚀

Let's dive in! 👇

🏙️ Abu Dhabi Surpasses Oslo as the Global SWF Capital 🌍

📰 What is it about?

• Abu Dhabi has become the leading city globally in managing sovereign wealth fund (SWF) capital, surpassing Oslo, according to Global SWF’s First City Ranking.

• The city manages $1.7 trillion in assets through its SWFs, including the Abu Dhabi Investment Authority (ADIA), Mubadala Investment Company, ADQ, and the Emirates Investment Authority (EIA).

• The UAE’s combined SWF assets are expected to reach $2.2 trillion by the end of 2024, ahead of Saudi Arabia’s $1.12 trillion.

💡 Why it matters?

• The ranking highlights Abu Dhabi's rise as a major global financial hub, reflecting its growing influence in managing and deploying large-scale investments.

• It underscores the dominance of the GCC region in SWF management, with Abu Dhabi leading the way, followed by other key hubs like Riyadh, Singapore, and Beijing.

• Abu Dhabi’s SWFs and asset owners, including central banks, pension funds, and family offices, represent a concentration of wealth projected to reach $3.4 trillion by 2030.

🔜 What’s next?

• Abu Dhabi is set to maintain its lead with continued asset growth and investment activities, leveraging its position as the "Capital of Capital."

• The GCC’s total SWF assets are forecasted to break $7.3 trillion by 2030, with their investments expanding globally, showcasing the region’s growing economic clout.

• Abu Dhabi is also expected to increase human capital, with the number of personnel employed by SWFs in the city already at 3,107, the highest among global hubs.

📈 Markets

🇸🇦 Saudi PIF Acquires 40% Stake in Selfridges 🏬

📰 What is it about?

• Saudi Arabia's Public Investment Fund (PIF) has signed a binding agreement to acquire a 40% stake in the luxury British department store chain Selfridges, previously owned by the insolvent Signa Group.

• The deal involves PIF partnering with Thai conglomerate Central Group, which will hold the remaining 60% ownership. Both shareholders plan to inject new investments to boost Selfridges’ financial standing.

• PIF already had a 10% stake in Selfridges’ property assets, but this transaction consolidates its influence over the chain’s operations and properties.

💡 Why it matters?

• The acquisition strengthens PIF’s portfolio in the luxury retail sector and reinforces its strategic investment in European and UK-based assets, building on its other high-profile UK investments such as Aston Martin and Newcastle United FC.

• Selfridges, with 18 stores across the UK, the Netherlands, and Ireland, is a significant player in the luxury retail market, making it an attractive asset for PIF’s global expansion goals.

• This transaction helps stabilize Selfridges following the financial collapse of Signa Group, ensuring the continued operation and development of one of Europe’s most iconic retail brands.

🔜 What’s next?

• PIF and Central Group plan to invest further into Selfridges, aiming to enhance its brand positioning as a luxury retail destination.

• The partnership will also include expanding Selfridges’ influence and offerings across its international locations, leveraging PIF's and Central Group’s financial and operational resources.

• The broader impact may extend to other luxury and retail assets formerly tied to Signa Group, as Central Group seeks to consolidate control over its ventures like Globus and KaDeWe.

Quote of the day
“It does not matter how slowly you go so long as you do not stop.”― Confucius

🏠 Ejari Raises $14.65M to Scale Up Saudi Arabia’s Rent Now, Pay Later Market 🚀

📰 What is it about?

• Ejari, a Saudi rental tech startup, raised $14.65 million in seed funding, a mix of debt and equity.

• The round was led by PFG and BECO Capital, with key contributions from anb seed, Alinma Pay, Rua Ventures, Vision Ventures, and Aqar platform.

• The funds will be used to upgrade technology, expand products, and solidify its market presence in Saudi Arabia’s RNPL space.

💡 Why it matters?

• Ejari's RNPL service addresses a gap in Saudi Arabia, where 70% of rental payments are annual or bi-annual, offering tenants more flexible options.

• The startup has seen significant traction, with $30 million in demand since its launch, showing high market potential.

• The participation of major investors and existing backers like Salica Oryx Fund highlights confidence in Ejari's model and growth prospects.

🔜 What’s next?

• Ejari plans to expand its RNPL offerings, aiming to increase its market share and become a leader in the residential rental market in Saudi Arabia.

• The investment will be directed towards technology enhancement, product development, and geographical expansion to reach more regions and cities.

• The startup continues to focus on making rental payments more accessible and flexible for Saudi tenants, aligning with its mission to transform the rental sector.

In other news…

1. Who is who and what is what of Shark Tank Dubai season 2, premiering today!

2. Abu Dhabi-owned Manchester City bag partial win against Premier League over sponsorship rules.

3. Abu Dhabi-based Modon partners with British developer Nick Candy for new MENA projects.

The Latest from the Smashi Business Studio

Athar - Saudi Festival of Creativity is back for its second season!

Athar - Saudi Festival of Creativity is the largest gathering of the creative marketing sector in the Kingdom that recognises creative marketing excellence. The second edition of the festival will take place from 05-06 November 2024.

Presented by Motivate Media Group and TRACCS, Athar is a place for leaders, senior decision-makers, managers and emerging talent from brands, agencies, government and universities to come together to learn, network and do business.

The festival hosts a number of initiatives beyond the content across two stages such as the Young Talent Academies for emerging talent, the Maheerah Programme for female executives and C-Suite initiatives that delve into the pressing challenges of the industry and its future growth.

1,500+ industry professionals,100+ regional, international and celebrity speakers, are expected to be in attendance to celebrate the power of creativity as a force for business, for change and for good.

Were you forwarded this email? Subscribe here