Hassana Investment Company has signed a Memorandum of Understanding (MoU) with Franklin Templeton, amounting to $150 million, aimed at boosting the private credit market in Saudi Arabia. This agreement is particularly significant as it seeks to expand access to alternative financing for mid-sized companies, which constitute almost half of the country’s employment yet receive less than 10 percent of total bank lending.

Jenny Johnson, president and CEO of Franklin Templeton, emphasized that this strategic partnership demonstrates their ongoing commitment to the Saudi market. She stated that both firms aim to collaborate on investment opportunities in the kingdom, with the overarching goal of supporting private sector growth, driving economic diversification, and contributing to Saudi Arabia’s Vision 2030.

Hani Aljehani, chief investment officer for International Markets at Hassana, highlighted that this deal builds upon an established partnership with Franklin Templeton. He expressed eagerness to explore opportunities in Saudi private credit to broaden financing solutions for underserved segments of the market.

Hassana, which manages assets exceeding SAR1.2 trillion (approximately $320 billion), is recognized as one of the largest institutional investors in the region. The firm plays a crucial role in deploying capital across various asset classes and geographies, aligning with Saudi Arabia’s long-term development objectives.

Franklin Templeton, based in San Mateo, California, has maintained a presence in the Middle East for over 25 years. The asset manager opened a new office in Riyadh and offers a diverse range of services, including MENA fixed income, global sukuk, Saudi fixed income, and GCC private credit strategies from its new location.