Red Sea Global (RSG), the group developing unique tourism locations like AMAALA and The Red Sea, has achieved a significant milestone by obtaining a SAR 6.5 billion ($1.73 billion) credit facility dedicated to AMAALA’s development.

Funding for this major project is spearheaded by Riyad Bank, acting as the sole underwriter, with the assistance of The Saudi Investment Bank (SAIB) and Bank AlBilad serving as mandated lead arrangers. This loan agreement incorporates both conventional and Islamic financing methods and aligns with RSG’s Green Loan Framework, established following their initial funding from a consortium of banks for The Red Sea destination in 2021.

“Four years ago, we made history by securing the first-ever Riyal denominated green finance credit facility. Since then, we have built and opened nine hotels at The Red Sea destination as well as supporting infrastructure. Last month we announced the upcoming opening of Shura Island, which will feature 11 hotels, residences, high-end food and beverage and retail experiences. We have demonstrated that we are a developer who delivers and we’re proud that our financing partners recognize this and have faith to once again back our destinations, this time supporting AMAALA, which opens in the coming weeks,” said John Pagano, Group CEO at RSG.

This partnership marks the third collaboration between RSG and Riyad Bank, following their first green loan facility in 2021 and a previous SAR 2 billion debt financing focused on a joint venture with Kingdom Holding Company for developing the Four Seasons Resort on Shura Island, scheduled to open soon.

Nadir Al-Koraya, President and CEO of Riyad Bank, stated: “Red Sea Global continues to demonstrate exceptional capability in delivering on bold and transformative developments that align with the Kingdom’s Vision 2030 goals. We are proud to once again support them, this time in realizing AMAALA, an ambitious, sustainability-driven destination that will redefine wellness and luxury tourism.”

Gregory Djerejian, Group Head of Investments and Chief Legal Officer at RSG, added: “We are grateful to our partners for their continued trust and support. Their backing not only reflects confidence in our vision, but also reinforces our shared commitment to responsible, future-focused development. Together, we are helping to deliver destinations that set new standards for sustainability, wellness, and economic impact.”

The Green Financing accreditation follows the Green Financing Framework, which is in line with the Green Bond Principles and Green Loan Principles set forth by the International Capital Markets Association (ICMA) and the Loan Market Association’s (LMA).

Legal advice was provided by the international law firm Akin, acting as borrower’s counsel on the transaction, while Linklaters’ Riyadh office served as lenders’ counsel. Both firms played vital roles in ensuring a smooth transaction process, providing pragmatic legal advice that supported RSG in securing this landmark green financing.

AMAALA, located at Triple Bay, is slated to open this year, featuring over 1,400 hotel rooms across eight distinct resorts. It aims to be an ultra-luxury wellness destination, focusing on regeneration, with highlights such as the Corallium Marine Life Institute, dedicated to education and research, and the AMAALA Yacht Club, positioned to become a premier hub for luxury yachting.