Spinneys increases holding in Saudi unit to 70% as it doubles down on affluent clientele

Spinneys, the Dubai-based supermarket chain, has increased its ownership stake in its Saudi Arabian subsidiary to 70 percent after acquiring an additional 20 percent for $4.82 million. This acquisition was made from Abdul Mohsen AbdulAziz Al Hokair Holding Group, bringing the total holding in Spinneys KSA, formed in 2022—to 70 percent once the transaction receives regulatory approval. The deal underscores Spinneys’ strategic push to capture a larger share of the premium grocery market in Saudi Arabia, which it views as one of its key growth regions. The move comes amid a broader expansion plan that includes opening its first Kuwait store this year. Spinneys currently operates 93 stores across the Arabian Gulf, with 81 owned directly and 12 managed through partnerships. These include locations in the United Arab Emirates, Saudi Arabia, and Oman. In the past year alone, the company has launched nine new stores in the UAE and two in Saudi Arabia, reflecting its aggressive approach to market penetration. The company aims to eventually operate up to 10 stores in Kuwait, marking a significant step in its regional growth strategy. Spinneys CEO Sunil Kumar emphasized the potential of Saudi Arabia’s premium grocery sector, citing a youthful, growing, and increasingly affluent population as a driving force behind the market’s rapid development. He noted that the increased shareholding enables the company to make greater investments and extend the Spinneys brand to more consumers while leveraging the local knowledge of its partners. “This increased shareholding allows us to invest further,” Kumar stated, “and bring the Spinneys experience to more customers across the country.” The company’s expansion efforts have been bolstered by its recent listing on the Dubai Financial Market in May 2024, following an initial public offering that raised $375.7 million. Since then, the company has demonstrated strong financial performance, reporting a 11 percent increase in revenue to over $1 billion for the first quarter of 2026. Net profit attributable to equity owners rose by approximately three percent to $91.4 million during the same period. These figures highlight the company’s robust financial position and its ability to sustain its ambitious growth trajectory. Spinneys traces its origins back to 1961, starting with a small grocery store in Dubai’s Al Nasr Square. Over the decades, it has evolved into a major player in the region’s retail landscape, known for its premium offerings and customer-centric service. Its presence in multiple countries within the Arabian Gulf underscores its commitment to serving diverse consumer bases and adapting to local preferences. The continued investment in Saudi Arabia aligns with this vision, positioning the company to capitalize on the evolving demands of a wealthy and dynamic market. Looking ahead, Spinneys is expected to continue its expansion drive, particularly in Kuwait, where it plans to open its first store this year. The company’s long-term goal of operating up to 10 stores in the country signals a sustained commitment to the region. With ongoing investments and a clear focus on affluent consumers, Spinneys is well-positioned to maintain its competitive edge in the premium grocery space across the Arabian Gulf.