(Finance) – Il Public Investment Fund (PIF)Saudi Arabia’s sovereign wealth fund, announced the establishment of Neo Space Group (NSG)a wholly owned subsidiary of PIF that intends to become a national champion in satellite and space sector. NSG will enhance the space and satellite sector by developing local capabilities and strengthening its strategic position within the growing global space economy, it said in a statement.
The group aims to develop and enhance commercial space operations in Saudi Arabia, providing innovative satellite and space solutions locally and globally. It will invest in local and international resources and capabilities, as well as promising venture capital opportunities, to catalyze the advancement and localization of industry-specific expertise.
NSG will contribute to the development and implementation of the latest cutting-edge technologies in the space sector through its four dedicated business segments: satellite communications, Earth observation and remote sensing, satellite navigation and the Internet of Things, as well as a targeted venture capital fund focused on the satellite and space sector.
“The foundation of NSG marks an important milestone in the development of the growing satellite and space sector in Saudi Arabia and the ambition to become a leading commercial player in the global satellite sector – commented Omar Al-Madhi, Co-head of MENA Direct Investments at PIF – This is a unique milestone for PIF as it is PIF’s first investment focused on the space industry, which represents a number of new opportunities for the Saudi economy and the private sector.”
The development of the aerospace sector is in line with PIF’s strategy to support the diversification of the Saudi economy, non-oil revenue growth and the realization of Saudi Vision 2030.