Al Rajhi Capital, one of the largest investment firms in Saudi Arabia, has announced the successful closing of a private placement subscription for the Al Rajhi European Real Estate Fund focusing on logistics after raising SR581 Million ($155 million) in equity.
The five-year closed-ended fund will invest in income generating properties, such as warehouses occupied by solid tenants with long-term leases.
The objective of the fund is to provide its investors superior returns with balanced risk, bi-annually distributed current income, in addition to a potential for capital appreciation.
The main geographic focus of the fund will be Western Europe.
Gaurav Shah, CEO of Al Rajhi Capital, said: “This fund marks the commencement of the global expansion of our real estate investment platform. We continue to pursue investment in sectors where Al Rajhi Capital management has built deep expertise. The success in asset raising is a testament to both the significant track record that Al Rajhi Capital has built within the logistic real estate space and the continuing strong attributes of the sector”.
Abdulaziz Al-Sabt, brokerage and shared services director, Al Rajhi Capital, added: “The attractiveness of the logistic sector is underpinned by minimal speculative development, strong tenants, long leases, stable recurring income with potential for capital appreciation. The continuing trend toward online sales is expected to accelerate the need for good quality distribution networks which translates into demand for warehouses and other logistics properties near trade routes such as ports and airports.”
Al Rajhi Capital has managed over $1 billion in transactions across the logistics and community retail space and recently successfully exited a $360 million fund focused on investing in Saudi and UAE logistics.
Established in 2008, Al Rajhi Capital is one of the leading providers of financial services in Saudi Arabia, providing a comprehensive range of innovative financial solutions across brokerage, asset management and investment banking.
Al Rajhi Capital is the top ranking broker and one of the largest asset managers in Saudi Arabia.
Al Rajhi Capital raises SR581m for European Real Estate Fund
Al Rajhi Capital raises SR581m for European Real Estate Fund
Washing water waste out of fashion
Suat Ozsoy, vice president of commercial operations at Epson META-CW Asia, explores how the fashion industry can innovate and become more sustainable by reducing water consumption.
We have all had that perfect pair of jeans — the ones that fit just right, in the perfect color, and with a style that feels like it was made for us. But when you look a little closer, we might realize they are not as perfect as they seem. Why? Because it takes nearly 3,781 liters of water to make the average pair of jeans according to the World Economic Forum. That’s enough to fill around 50 baths.
The garment industry has grown up around waterways, which have provided the transportation, power for mills and water sources for production. But it has also led to pollution and huge water waste as per WWF’s report on ‘The Water Risks and Opportunities Facing Apparel and Textile Clusters’.
As the fashion industry continues to grow, the environmental cost of producing clothing is becoming an increasingly urgent issue. Reducing water consumption is essential to creating a more sustainable future for fashion.
Local initiatives and Vision 2030
The UAE, as a hub for innovation and sustainability in the Middle East, increasingly recognizes the need to address environmental challenges like water conservation. Under the framework of Vision 2030, the UAE government has prioritized sustainability, with significant investments in water management and innovative technologies to address water scarcity. The National Water Strategy 2036 aims to ensure the sustainable use of water resources, improving efficiency and reducing waste across various sectors, including textiles. With growing awareness of global water issues, local stakeholders are looking at cutting-edge solutions such as digital textile printing and sustainable manufacturing practices to minimize the ecological impact of industries such as fashion.
An XXXL sized problem
The textile industry has a heavy environmental footprint — both globally and in the Middle East. According to Tadweer Group, the UAE’s annual textile consumption stands at around 500 million items, of which approximately 210,000 tonnes end up as discarded material — up to 90 percent of which currently goes to landfill. This waste is especially significant for a region with ambitious sustainability goals and highlights the urgency for the textile and fashion industries to embrace redesign, recycling and more sustainable manufacturing methods.
Why all the water?
Water waste in clothing production begins with the raw materials. Most textiles are woven from cotton, which requires more water than any other crop. As per Florida State University’s research ‘Clothed in Conservation: Fashion & Water’, producing just 1 kg of raw cotton requires between 7,000 and 29,000 liters of water, whereas 1,827 liters of water are used to produce 1 kg of wheat and cereal grains only need 1,000 liters per kg. The manufacturing process also needs huge volumes of water. The cotton must be bleached, dyed, printed and rinsed. Dyed cotton requires up to 150 liters of water per kg according to the report ‘Why Does it Take So Much Water to Make a Cloth?’ by Decathlon Sustainability.What technology is available to reduce the huge waste associated with traditional analogue methods used in clothing manufacture?
Technology that is making an impact
The pre- and -post treatment of fabrics for printing is an area where new technology can significantly reduce water use. Epson’s Monna Lisa ML-13000 is an example of a modern digital printer that uses pigment ink, simplifying the whole process and reducing water use by up to 97 percent compared to traditional textile printing.
Digital textile printing also allows for on-demand production, removing unnecessary water and textile waste associated with traditional analogue processes that are not well-suited for low print volumes, resulting in over production. Digital printers are also compact in size and can help shorten supply chain processes, keeping production closer to where it is consumed.
Cutting waste in other ways
Epson’s digital printing is just one of the technologies that is helping the textile industry move toward more sustainable production. Another is Epson’s Dry Fiber Technology for textiles.
A prototype is in development that defibrates used clothing and mill ends into base fibers, which can be supplied for subsequent processes to create new non-woven materials. The defibering process is waterless, although moderate humidity is required. If used widely, this could help solve two of the industry’s major challenges: the huge volume of water needed for production and the current low volume of clothing recycling.
To highlight the possibilities of sustainable technology, renowned UAE-based fashion designer Michael Cinco collaborated with Epson during Arab Fashion Week 2023. Using Epson’s digital printing technology, Cinco was able to print intricate designs for his runway collection inspired by Gustav Klimt, showcasing the power of sustainable, high-quality textile printing. This collaboration underscores the growing importance of environmentally conscious practices in the fashion industry, especially in the UAE, where sustainability is becoming an increasingly integral part of the fashion landscape.
A change of mindset
Next time you choose a garment, think about the innovation behind it and envision a future where informed choices help drive responsible production and help protect our environment for the next generation.
To learn more about Epson’s innovation for the textile industry, visit: https://www.epson.ae/discover/sustainable-technologies
