Rothschild plans to increase its operations in Saudi Arabia by hiring or transferring bankers while setting up a new office in the huge financial hub of Riyadh.
The Paris-based bank said that it will expand to the King Abdullah Financial District, the $10 billion business center north of the capital, to which many local and foreign institutions and companies have recently moved.
Notable tenants in the area include Saudi Arabia’s $700 billion sovereign wealth fund and large local banking companies such as the National Bank of Saudi Arabia. Rothschild is set to be among the first international consulting firms there.
Nasser Al-Issa, Managing Director and Head of Saudi Arabia, who was appointed by the bank in 2022, will lead the new office. Saeed Al Awar, partner and head of the Middle East Department at Rothschild, said in an interview according to a Bloomberg report seen by Al Arabiya Business, that he will have a total of seven bankers there with the aim of doubling his size in the medium term.
He said: “Localizing the presence is a key strategy for us, and therefore we look forward to continuing to strengthen our local presence on the ground in the Kingdom.” He added: “The seven people we have will live in Riyadh and reside permanently outside the Kingdom,” saying that proximity to customers was among the main reasons for the bank’s decision.
Rothschild’s plans are also another sign that global banks are seeking more business opportunities in the kingdom. The largest economy in the Arab world has been witnessing radical reforms in recent years, including the privatization of the oil giant Aramco and the emergence of the Public Investment Fund as a global deal maker.
Rothschild, one of the world’s oldest banks, said it would offer its usual range of products in Saudi Arabia, including advising on mergers and acquisitions, restructuring and stock market solutions.
Rothschild, along with other independent advisors such as Moelis, is among the most active investment banks in the Middle East. The bank’s recent deals include advising the Saudi Tadawul Group on its acquisition of a minority stake in the Dubai Mercantile Exchange and also on the sale of Rocco Forte Hotels’ 49.9% stake to the Saudi Wealth Fund.
