Saudi Arabian private equity firm Alpha Capital has acquired a 33.7 percent stake in fish-farming firm Tharawat Seas via its aquaculture investment fund Alpha Aquaculture.
“This partnership with Tharawat Seas, a leading player in the aquaculture sector, represents a significant addition to Alpha Capital’s private equity portfolio,” Alpha CEO and Managing Director Fahad Al Saud said in a release, adding that the acquisition was settled with the backing of Saudi Arabia's Ministry of Environment, Water, and Agriculture. “The fund provides investors with exposure to a promising sector experiencing rapid growth in demand, driven by changing food consumption patterns and growing awareness of the importance of seafood as a source of protein.”
Riyadh, Saudi Arabia-based Alpha Capital is a leading boutique private investment firm in Saudi Arabia, with over SAR 28 billion (USD 7.4 billion, EUR 6.6 billion) in assets under management.
Tharawat Seas, also based in Riyadh, produces more than 4,000 tons of fish annually, mainly composed of sea bass and sea bream production, and possesses such infrastructure as hatchery, farming, processing, and distribution operations.
“This partnership is a strategic step in Tharawat Seas’ development, reflecting confidence in the sector and its role in supporting the Kingdom’s vision for a sustainable aquaculture industry and enhancing food security,” Tharawat Seas Chairman Abdullah Al Qahtani said. “The partnership is intended to advance the company into its next stage of development by supporting integration across aquaculture activities and increasing production capacity to meet market requirements and shareholder aspirations.”
The acquisition comes as Saudi Arabia is trying to expand investments into the nation’s aquaculture sector with assistance from the Ministry of Environment, Water, and Agriculture and the National Livestock and Fisheries Development Program, aiming to woo more private sector backing by improving key regulatory processes such as site allocation, licensing, research and development, and investment facilitation.
That investment expansion is a key pillar in the country's Vision 2030, which outlines the desire to secure investments of up to SAR 30 billion (USD 7.9 billion, EUR 7 billion) across farming operations, hatcheries, feed mills, processing plants, and cold chain infrastructure in the country.
“Saudi Arabia’s aquaculture sector is undergoing significant transformation, supported by the Ministry of Environment, Water, and Agriculture and the National Livestock and Fisheries Development Program through initiatives aimed at strengthening food security, with targets that include raising national seafood production to more than 500,000 tons annually and increasing annual seafood consumption per capita to 20 kilograms by 2030 from 13.4 kilograms in 2024,” Al Saud said.
