IHG Hotels & Resorts to expand operations in Saudi Arabia

Maher Abou Nasr, vice president of operations at Saudi Arabia IHG Hotels & Resorts (AN)
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Updated 18 May 2023
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IHG Hotels & Resorts to expand operations in Saudi Arabia

RIYADH: Saudi Arabia’s hospitality landscape will soon witness more options with IHG Hotels & Resorts, one of the world’s largest hospitality groups, all set to expand operations in the Kingdom in a move to support its growing business.

This move will allow the global hospitality firm, which owns 6,000 hotels across 18 brands, to manage its portfolio of hotels in the Kingdom from the capital city. 

“With our continued focus on Saudi Arabia and a growing footprint in the market, we look forward to expanding our operations and further strengthening on ground support to accelerate growth and performance in the Kingdom,” said Maher Abou Nasr, vice president of operations at Saudi Arabia IHG Hotels & Resorts, on the sidelines of the Future Hospitality Summit in Riyadh. 

IHG currently runs 38 hotels in the Kingdom with 18,000 rooms under three brands, Intercontinental, Crown Plaza and Holiday Inn. It also has 35 hotels under construction. 

The hospitality giant recently added Voco and Staybridge Suites and plans to introduce other brands in the luxury lifestyle segment, such as Regent and Six Senses. 

“Only last week, we announced our Kimpton with King Abdullah Financial District, which we’re very excited about,” said Abou Nasr.

IHG Hotels & Resorts signed a management agreement with the KAFD to bring the first Kimpton hotel in the region to Riyadh. 

The facility will offer guests a personalized luxury experience and join existing properties worldwide, including the US, France and Scotland. 

Catering to a broader spectrum of guests visiting the Kingdom and keeping within the Vision 2030 blueprint, the group has signed a master development agreement with Al Hokair Group to develop at least 10 Holiday Inn Express hotels within the next 15 years.  

Also in the pipeline is the Hotel Indigo brand that caters to the segment between full- and limited-service hotels. 

“A beautiful lifestyle brand that focuses on the neighborhood, Hotel Indigo brands bring the neighborhood inside the hotel,” said Abou Nasr.

The company signed a management agreement with Mohammed Bin Salman Nonprofit City for a new Hotel Indigo within the city near the Irqah area along Wadi Hanifa in Riyadh. 

Besides managing hotels, IHG Hotels & Resorts is introducing several sustainability initiatives into the market and plans to hire more Saudi nationals by 2030. 

“We have been operating hotels in Saudi Arabia since 1975. And since then, we’ve been graduating Saudi talent into the industry,” said Abou Nasr. 

Its latest initiative includes a platform which sees Saudis trained on their jobs directly within the hotel. 

In promoting sustainability, the company is working on eliminating carbon emissions and addressing food waste in hotel operations. 

“We want to manage the reduction of food waste in our properties. We look at the usage of water in highly affected areas. We look at the single-use plastics as well, and we’re eliminating that,” said Abou Nasr.

He added: “Last but not least, we look at our energy consumption within the properties, and we have many initiatives to support us on that journey.” 

 

  • CLARIFICATION: The article has been updated based on the “revised information” shared by the company in question.

PIF-backed AviLease achieves revenue of $664m and 19% growth in 2025

Updated 27 February 2026
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PIF-backed AviLease achieves revenue of $664m and 19% growth in 2025

RIYADH: Saudi Arabia’s Public Investment Fund-backed AviLease achieved exceptional performance and sustainable business growth during 2025, supported by the strategic expansion of its global platform.

According to its financial results for 2025, AviLease recorded total revenues of $664 million, an annual increase of 19 percent, driven by disciplined growth in its asset portfolio and strong performance in aircraft remarketing amid sustained global demand for modern, fuel-efficient aircraft, the Saudi Press Agency reported.

Profit before tax doubled compared to the previous year, reaching $122 million. The year witnessed an expansion in AviLease’s portfolio, reaching 202 owned and managed aircraft, leased to over 50 airline companies in more than 30 countries. 

The total value of the company’s assets stabilized at $9.3 billion. AviLease maintained a 100 percent fleet utilization rate, reflecting the resilience of its business model, the efficiency of its asset management, and the strength of its strategic relationships with airlines around the world.

AviLease concluded purchase agreements for aircraft from Airbus, including the A320neo family and A350F, and Boeing 737 aircraft, aiming to enhance its future asset portfolio with modern, fuel-efficient aircraft. This step will contribute to supporting future growth and meeting increasing customer demand for the latest aircraft, aligning with the Kingdom’s ambitions to become a leading global aviation hub.

AviLease strengthened its prestigious credit standing by obtaining a strong Baa2 credit ratings from Moody’s and BBB from Fitch, reflecting its financial solidity, managerial discipline, and efficiency in managing leverage. The company also successfully issued senior unsecured bonds worth $850 million last November under Regulation 144A/RegS. This issuance contributed to diversifying its funding sources and enhancing its financial flexibility.

Commenting on the results, AviLease CEO Edward O’Byrne said: “This exceptional performance reflects the quality of the company’s investment portfolio, the strength of its partnerships with airlines, and its strategic focus on responsibly deploying capital into highly sought-after, efficient, modern aircraft assets.”

He added: “As aviation markets continue to grow, AviLease is strategically positioned to continue its expansion plans and deliver sustainable long-term value for shareholders, contributing to the Kingdom’s ambitions.”

Throughout 2025, AviLease continued to play a pivotal role in the Kingdom’s growing aviation sector and contributed directly to the launch and scaling of the new national carrier, Riyadh Air, by completing a sale and leaseback transaction for a Boeing 787-9 aircraft, which thereby became the first aircraft to join the airline’s fleet.

AviLease also established a strategic partnership with Hassana Investment Co. This partnership aims to provide an opportunity for local and international investors to enter the aircraft financing asset class and benefit from AviLease’s technical expertise and operational capabilities to support partnership growth and enhance performance. 

Hassana Investment Co. has agreed to acquire an initial portfolio of 10 modern aircraft from AviLease.