Riyadh-Mubasher: Al-Tayyar Travel Group said there were four main reasons behind its recent acquisition of a 30% stake in Zakhir.
The travel services provider said the deal will enable it to benefit from the significant growth in the religious tourism sector in Makkah.
The first reason is to achieve the vertical integration in the supply chain in the regions tourism sector, the group said.
Al-Tayyar owns several diversified investments in Makkah, including travel and tourism services as well as hospitality assets owned or leased for long term.
The purchase of stakes in strategic locations will facilitate the group’s’ vertical integration, and will help it expand further in the hospitality services.
The second reason is Zakhir’s strategic location as it is just 1.4 km away from the Sacred Mosque and 200 meters away from Makkah Municipality.
The third reason is the strong growth achieved by the religious tourism. Hajj and Umrah make up nearly 53% of the kingdom’s total arrivals and around 30% of the internal journeys.
The fourth reason is the diversification and integration of the group’s investment portfolio in Makkah.
