Saudi conglomerate Abdul Latif Jameel is accelerating its investments in renewable energy and water solutions, establishing itself as a significant player in global sustainability efforts through its subsidiaries Fotowatio Renewable Ventures (FRV) and Almar Water Solutions.
The diversification strategy, led by Deputy Presidents and Vice Chairmen Hassan and Fady Jameel, represents a notable evolution for the company best known as one of Toyota’s largest independent distributors worldwide.
“We made the conscious decision a few years ago to go into renewable energy,” said Fady Jameel in a recent statement. “Energy is a sector that we feel very strongly about. We like that it’s a long-term play.”
The company’s renewable energy arm, FRV, has set an ambitious target pipeline of 7.5 gigawatts by 2024, with operations spanning Latin America, Europe, Australia, and the Middle East. This expansion reflects the growing global demand for sustainable energy solutions in response to climate change concerns.
Hassan Jameel, who oversees the company’s domestic operations in Saudi Arabia, emphasized that this diversification aligns with the Kingdom’s Vision 2030 economic transformation plan, which aims to reduce dependency on oil and develop alternative energy sources.
“There’s so much noise now in mobility: the sharing and the hailing, the insurtech, the fintech,” Mr. Jameel noted, explaining the company’s strategic shifts. “Companies like ours are wondering what the future holds.”
In addition to renewable energy, Abdul Latif Jameel established Almar Water Solutions in 2016, focusing on desalination and water treatment. The Madrid-based company now has offices across the Middle East, Africa, and South America, developing industrial water solutions for applications ranging from urban use to mining operations.
“These sectors are important for us in terms of future business—not only geographic diversification but also impact,” Fady Jameel explained. “There’s a great need for energy and for clean water, whether from a personal or an industrial point of view.”
Industry analysts note that Abdul Latif Jameel’s approach to these capital-intensive, long-term investments reflects its distinctive business philosophy, which Hassan Jameel has described as that of a “75-year-old startup.”
This philosophy has guided the company’s evolution from its founding in 1945 as a single gas station in Jeddah to its current status as a global investor operating across multiple sectors in more than 30 countries.
The company’s investments in renewable energy and water technology complement its other forward-looking ventures, including early backing of electric vehicle manufacturer Rivian, which later attracted significant investments from Amazon and Ford.
According to Hassan Jameel, these strategic moves represent more than just business diversification. “The bottom line, alone, is not a purpose for a company anymore,” he stated. “An organization needs to have purpose, and we as owners and managers of the organization need to feel that.”