HRH Prince Alwaleed bin Talal bin Abdulaziz Alsaud, Chairman of Kingdom Holding Company (KHC), received at his office in Riyadh Mr. David L. Sokol, Chairman and CEO of NetJets. The meeting was attended by Mr. Ayed Al Jeaid, Chairman of NAS Holding (“NAS”) and Eng. Ahmed Halawani, Executive Director of Private Equity.
The meeting began as HRH welcomed Mr. Sokol and the two discussed economic and investment issues. Also on the agenda of the discussions were strategies to further strengthen and develop between NetJets and NAS in which KHC holds about 37% stake.
In 2007 KHC acquired a 9% stake in NAS and in 2008 KHC increased its investment in the Company for SR1.17billion ($313 million) to increase its stake in NAS to 37% for a total investment of SR2.23 billion ($594 million). The deal was made through the acquisition of 100% of Abraaj NAS which owned 30% of NAS. In 2010, KHC invested further USD 50 million in NAS. The Saudi aviation industry has been undergoing de-regulation with resulting growth. In light of this and NAS’s strong share-holder base and management, the acquisition was an attractive deal for KHC.
NAS was established in 1999 when NetJets-Middle East Program (NJME) was introduced in cooperation with NetJets-USA, the program is Fractional Jet ownership with 16 aircraft currently in operation. Later on in 2001, Aircraft Management Services was established to provide customized management solutions for aircraft owners. It has signed management and operations contracts of over 66 governments, corporate and private aircraft. In 2007, NAS started its commercial operations by establishing Nasair, the smart choice and first budget airline in KSA. Nasair currently operates commercial fleet of 13 aircraft flying to 30 domestic & international destinations. Nasair commercial fleet is expected to grow to 19 aircraft by year 2012.