Avilog joins SATS to expand air cargo infrastructure in Saudi Arabia
SATS and Avilog complete JV in Saudi Arabia to expand cargo capacity and support Vision 2030 logistics ambitions.
A global leader in gateway services and food solutions has officially completed its strategic joint venture with Avilog Logistics Services Company. Following all necessary regulatory approvals, Avilog—a joint venture between Albawardi Group (ABG) and Al Muhaidib Group (AMG)—has acquired a 49% stake in SATS Saudi Arabia Company (SATS SA).
This partnership aims to reshape the logistics landscape in Saudi Arabia and support the Kingdom’s Vision 2030 goals of becoming a leading global logistics hub. The strategic alliance was formalized in the presence of top officials from the General Authority of Civil Aviation (GACA), the Ministry of Investment, and Riyadh Airports Company, highlighting its national significance.
SATS SA currently manages air cargo operations across the Kingdom’s three key aviation hubs—Dammam, Riyadh, and Jeddah—making it the second-largest air cargo handler in Saudi Arabia. The company operates facilities with a combined annual capacity of 450,000 tonnes and specializes in handling temperature-sensitive cargo using advanced material handling systems. Plans are underway for a new state-of-the-art cargo facility in Jeddah, expected to add another 300,000 tonnes of annual capacity by Q1 2027.
The joint venture will enable SATS SA to tap into Avilog’s extensive logistics ecosystem. ABG brings marine services, bonded zones, and warehousing, while AMG adds a nationwide distribution network and diverse sector investments. These synergies will significantly improve multi-modal logistics connectivity across air, sea, road, and rail within the Kingdom.
Bob Chi, CEO of Gateway Services Asia Pacific, SATS Ltd., emphasized that the deal marks a critical milestone in SATS’ Saudi operations, enhancing their ability to deliver integrated cargo solutions. Isam Majid Al Muhaidib, Chairman of Avilog, added that the partnership is key to innovating the local logistics sector and building global competitiveness.
The collaboration is poised to elevate air cargo handling standards, deliver customer-centric solutions, and advance Saudi Arabia’s transformation into a major logistics powerhouse.
