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UAE's ADNH Catering raises stake in Saudi venture Compass Arabia to 50%

Stake hike sets stage for ADNH Catering to seek wider regional presence

Last updated: August 21, 2025 | 12:36

Manoj Nair, Business Editor

1 MIN READ

ADNH Catering adds to its stake in the Saudi JV and setting the stage for further regional expansion.

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Dubai: Abu Dhabi's ADNH Catering has taken over the management of the Saudi catering company Compass Arabia.

This follows the completion by ADNH Catering - a subsidiary of Abu Dhabi National Hotels - of picking a 50% stake in the Saudi entity. It was earlier holding 30%. The deal, ADNH Catering says, will mark a 'new era of growth and expansion' in Saudi Arabia.

Also Read: Abu Dhabi's ADNH Catering to raise stake in Saudi venture to 50%, Compass to exit

From this month on, Compass Arabia's performance will be consolidated under ADNH Catering's financials. (The Al-Rushaid Petroleum Investment Company holds the other 50%.)

It was recently that the ADX-listed firm acquired Food Nation Catering, a major caterer within the UAE education sector. The Compass Arabia Limited deal marks the second acquisition for this year 'as part of the Group's inorganic growth strategy'.

Also Read: ADNH Catering to be UAE's first IPO for action packed Q4-2024

Compass Arabia has been operating in Saudi Arabia for 12 years. "This step-up acquisition and takeover of management of the KSA JV provides the Group the opportunity to take its successful management philosophy, growth, procurement, people and management systems to the promising Saudi market," said a statement.

On ADX, the share is trading at Dh0.86, down just over 5% for the year.

Manoj NairBusiness Editor

Manoj Nair, the Gulf News Business Editor, is an expert on property and gold in the UAE and wider region, and these days he is also keeping an eye on stocks as well. Manoj cares a lot for luxury brands and what make them tick, as well as keep close watch on whatever changes the retail industry goes through, whether on the grand scale or incremental. He’s been with Gulf News for 30 years, having started as a Business Reporter. When not into financial journalism, Manoj prefers to see as much of 1950s-1980s Bollywood movies. He reckons the combo is as exciting as it gets, though many will vehemently disagree.