RIYADH — NEOM has joined forces with DSV in a groundbreaking $10 billion logistics joint venture aimed at catalyzing the development of NEOM's transformative projects. The partnership is set to play a pivotal role in shaping NEOM's logistics landscape in the years to come. The exclusive agreement outlines a comprehensive approach, encompassing end-to-end supply chain management, investment in transport and logistics assets, infrastructure development, and the efficient transport and delivery of goods and materials within NEOM. NEOM will take the majority share with a 51% stake, while DSV will hold the remaining 49%. NEOM anticipates a substantial demand for construction logistics until Dec. 31, 2031, with sustained growth expected in non-construction logistics thereafter. Beyond the impact on logistics, the venture is poised to significantly contribute to the Saudi economy by fostering infrastructure development and generating more than 20,000 job opportunities. Nadhmi Al-Nasr, CEO of NEOM, expressed the significance of the partnership, emphasizing that it not only validates NEOM's vision but also reflects the private sector's confidence in joining the transformative journey. The projected demand positions NEOM as one of the world's largest customers, and the collaboration with DSV enables NEOM to extract value from this demand. Al-Nasr highlighted the partnership's potential to drive innovation and sustainability throughout the logistics value chain, showcasing a tangible example of Saudi Vision 2030 in action. Jens Bjørn Andersen, Group CEO of DSV, underscored NEOM's stature as one of the largest and most complex projects globally. This collaboration provides DSV with a unique opportunity to support a development at the forefront of innovation, technology, and digital transformation. With an established presence in Saudi Arabia, DSV sees this venture as a significant growth opportunity in the region. Both NEOM and DSV are committed to fostering innovation and sustainability. A portion of the joint venture's revenues will be allocated to the development of groundbreaking technologies and the commercialization of new, sustainable, next-generation logistics solutions. The vision extends further with the establishment of a dedicated innovation center at NEOM.
