Hakkasan Group, owned by Alliance International Investments in Abu Dhabi, plans to open five restaurants in Saudi Arabia over the next five years. In its first foray into the kingdom, Hakkasan has teamed up with Saudi Arabia’s Al Khozama Management to bring its stable of concepts to the country including Hakkasan, Yauatcha and Sato No Hana.
Hakkasan has two gourmet restaurants in the UAE, in Abu Dhabi and Dubai, and one in Qatar. A branch is expected to open in Bahrain next year.
“Saudi Arabia has a flourishing restaurant sector,” said Neil Moffitt, the chief executive of Hakkasan Group.
He said it is an ideal location for the group to open its restaurant brands Hakkasan, Yauatcha and Sato No Hana. “With a dynamic economy and growing numbers of tourists visiting Saudi Arabia, we are excited about bringing a new and fresh dining experience for both locals and the global customer coming to the region. Importantly, this partnership builds on our global expansion strategy by rounding out our portfolio in the Middle East.” Earlier this year Saudi Arabia announced its National Transformation Programme, looking to alter the country’s dependence on oil revenues with a view to making it one of the 15 largest economies in the world by 2030.
Many UAE retailers facing constricted customer spending at home have turned to Saudi Arabia with its population of 31.7 million and rising levels of disposable income.
The median age in the kingdom is 29, while more than 66 per cent of residents are between 15 and 59 years of age. The government has also recently allowed foreign investors to own 100 per cent of retail and wholesale businesses.
The Saudi retail market grew by 13 per cent last year and it is estimated to offer 14 per cent compound annual growth by 2020, according to the consultants Euromonitor International.
The region’s biggest retailers, including Majid Al Futtaim, the Al Futtaim Group and GMG, view Saudi Arabia as an important investment destination.
Abdulaziz Al Habib, the president of Al Khozama Management, said the announcement comes at the perfect time. “Vision 2030 is fuelling pursuits of ambition, excellence and opportunities all around.”
ascott@thenational.ae
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