Goldman Sachs and partners arrange $150m Saudi financing

Goldman Sachs, HSBC Holdings and Fortress Investment Group are joining two regional fund managers to provide $150 million in private credit financing to United Saudi Company, marking a significant international lending transaction amid the Iran conflict.
The financing involves Ruya Partners and Amwal Capital Partners alongside the three global financial institutions. It is among the first substantial Saudi private credit transactions involving major overseas financiers since the war began in February, when attacks on Iran triggered a wider regional confrontation.
Ruya Partners has confirmed its participation in a transaction involving United Saudi Company but has not disclosed the financing structure or commercial terms. Details of the respective commitments, interest rate, maturity, collateral and intended use of proceeds have not been publicly established. The precise completion status of the arrangement also remains unclear.
The transaction would represent Fortress Investment Group’s first entry into Saudi Arabia’s private credit market. Fortress is backed by Abu Dhabi sovereign investor Mubadala Investment Company, adding another connection between Gulf institutional capital and international alternative investment managers.
Goldman Sachs, HSBC and Amwal Capital Partners have declined to comment on the financing, while Fortress has not provided a public response. No comprehensive announcement setting out the transaction’s contractual terms has been identified, making it important to distinguish the reported financing arrangement from a fully documented closing.
The proposed lending comes as Saudi companies seek additional sources of capital while banks contend with tighter liquidity and elevated funding costs. The conflict has complicated financial planning across the Gulf, with security risks, disrupted trade routes and uncertainty over government expenditure influencing borrowing conditions.
Private credit allows investment funds and other non-bank lenders to negotiate financing directly with businesses. Such transactions can offer borrowers structures that differ from conventional bank loans, although pricing, covenants and repayment obligations depend on individual agreements. The sector also exposes lenders to credit and liquidity risks that require careful assessment.
Saudi Arabia has been encouraging private investment to support economic diversification under Crown Prince Mohammed bin Salman’s transformation programme. Financing requirements extend beyond large government-backed developments to businesses seeking working capital, expansion funding and alternatives to bank credit.
Pressure on the kingdom’s financing system has become more pronounced as the war affects public finances and market sentiment. Banks must balance demand for corporate lending against their own funding requirements, while borrowers face uncertainty over the availability and cost of longer-term capital.
The involvement of both international institutions and established regional managers illustrates how lending partnerships can combine overseas investment capacity with local market knowledge. However, a single transaction does not establish a broader recovery in cross-border credit flows or demonstrate that financing conditions have returned to pre-war levels.
Saudi private credit activity has attracted a wider group of financial institutions since 2025. Jefferies Financial Group, Citigroup and Apollo Global Management have participated in specialised financing arrangements, including asset-backed structures, as investment managers explore opportunities beyond conventional syndicated lending.
Regional managers are also seeking capital for dedicated lending strategies. Ruya Partners, whose backers include Mubadala and Saudi Arabia’s Public Investment Fund, has been pursuing a $400 million fundraise. Janus Henderson disclosed last month that its Middle East private credit strategy had attracted commitments approaching $200 million.
Those fundraising efforts indicate investor interest, but commitments to investment funds are distinct from completed loans to individual companies. Deployment depends on borrower demand, underwriting standards, regulatory requirements and the returns available relative to competing assets.
The International Monetary Fund has highlighted the growing role of private credit in emerging markets while warning that limited transparency, valuation challenges and liquidity mismatches can complicate risk monitoring. Direct lending can supplement bank financing, but it does not eliminate exposure to borrower defaults or economic disruption.
Saudi Arabia’s market remains comparatively dependent on domestic lenders, and international fund managers face challenges involving regulation, access to transactions and understanding local credit risks. Partnerships with regional firms can help address some of those obstacles without removing the need for detailed due diligence.
United Saudi Company’s financing has been identified at $150 million, but no public breakdown has established how much each participating institution would provide. Nor have the parties disclosed whether the borrowing will be secured against specific assets or supported by other contractual protections.