In 2018 SEDCO Holding built on its result-oriented and performance-based approach to the future. We are cementing our leadership position as an agile organization, well-positioned to respond to market opportunities while supporting Saudi Arabia’s economic diversification.
At the same time, we want to stay true to our goal of creating shareholder value through an ethical and sustainable investment model. Our new approach is encapsulated in our Focus 2025 strategy, finalized after intensive work with internal stakeholders and international experts. As its name suggests, the strategy prioritizes focus and market leadership.
Focus 2025 sees us orientate long-term direct investment towards key and essential sectors identified by Saudi Vision 2030 – such as healthcare, education, asset management, hospitality including Hajj & Umrah and real estate. Rather than diversify horizontally, we will target key verticals to attain market leadership.
Our real estate portfolios will also benefit from our renewed focus. 2018 saw us formalize a consolidated Real Estate division under the new Chief Real Estate Officer. This is a step towards consolidating all real estate activities, bringing together our expertise across the real estate value chain.
Focus 2025 formalizes our results, performance and responsibility-based approach to generate shareholder value.
Our strong corporate governance will be boosted by refining our quarterly review mechanism and strengthening clear roles and responsibilities throughout our organization, director boards and operating companies. SEDCO Holding will have a more active role in supporting sectorial performance.
Our focus on strategy doesn’t negate the individual achievements of our teams and operating companies through 2018.
The Hotel Galleria by Elaf launched successfully to high customer appreciation. Nahdi continues to expand and further well-being and healthcare throughout Saudi Arabia. Red Sea Mall has witnessed high footfall increases, following its two expansion programs and the opening of a cinema complex. SEDCO Capital’s prudent and ethical multi asset class investment focus and Luxembourg platform differentiate it from other asset managers. The year was full of milestones crossed, challenges confronted, and opportunities acted upon.
Our commitment to employees and communities endures. We ranked 4th in the Great Place to Work ® in Saudi Arabia rankings and 12th across all of Asia.
Saudization and local empowerment is a cause close to our heart. We are proud that all of our portfolio companies maintain high levels of Saudization, and are offering Saudi citizens the training, learning and development to create a new generation of leaders. The Nahdi Academy, SEDCO Stars, and SEDCO Capital’s training initiatives are examples of the work we are doing to develop Saudi skillsets.
Riyali has become a nationwide initiative of financial literacy and empowerment and financial inclusion through our partnership with the Ministry of Education. Riyali’s new collaboration with SABB amplifies its reach as we progress towards benefitting 2 million people by 2020. We are also playing a major role in the entrepreneur ecosystem, helping entrepreneurs gain the financial skills to succeed.
Over four and a half decades we have built a strong foundation rooted in performance, transparency, governance, social responsibility towards our community and results. It is an example of transparency, global reach and performance for family-owned businesses. Focus 2025 continues those efforts, building on the Group’s sound foundations.
Thanks to the great and wise leadership of Saudi Arabia. This is an exciting time for the Kingdom, with a world of opportunity for businesses agile and focused enough to seize it. We have the expertise to serve as partner and consultant assisting in this transformation. We remain dedicated to the Saudi Arabian market, and Focus 2025 serves to formalize our alignment with Saudi Vision 2030 and the National Transformation Plan.
I thank our shareholders, Board members, the management teams of our portfolio companies, and our employees. Our successes have rested on your shoulders.
Chief Executive Officer