PIF and I Squared Capital, an independent global infrastructure investment manager, have signed a Memorandum of Understanding (MoU) for I Squared to pursue the deployment of up to US$ 2 billion in real estate and infrastructure assets owned by Public Investment Fund (PIF) and its portfolio companies.
PIF is the Kingdom of Saudi Arabia’s sovereign wealth fund, and has invested in several technology and digital infrastructure projects including HUMAIN as well as a variety of agreements and partnerships with international hyperscalers to develop AI hubs and sovereign cloud services. Meanwhile, I Squared’s investment portfolio comprises energy infrastructure, utilities, transport and logistics, digital infrastructure, and social and environmental infrastructure.
According to a press release, PIF and I Squared will work closely with PIF portfolio companies to identify opportunities in both digital infrastructure and district cooling, both critical enablers of the real estate sector. I Squared will target allocating up to US$ 1 billion in each of these areas with the option to scale across additional related business themes.
Saad Alkroud, Head, Local Real Estate Investments at PIF, said, “PIF presents an unprecedented pipeline of real estate and infrastructure projects in the modern world, projects that continue to attract leading investors, foster sustainable value creation and generate commercially attractive returns. This MoU brings together PIF’s capabilities, scale and ecosystems, alongside I Squared’s operational expertise and proven record in the infrastructure sector.”
Sadek Wahba, Chairman and Managing Partner, I Squared Capital, said, “With this MoU, we are evolving from partnership to action — with a shared conviction that PIF’s and Saudi Arabia’s infrastructure story is one of the most compelling in the world, and we look forward to contributing our global expertise alongside PIF in the Kingdom.”
The MoU aligns with PIF’s 2026-2030 strategic objectives to partner with global investors on opportunities within its portfolio and maximize value of PIF portfolio companies. The collaboration is expected to further accelerate project delivery and increase the contribution of third‐party capital into opportunities across the portfolio. Transactions subsequent to the non-binding MoU announced recently, will be subject to further assessment by the parties and the satisfaction of regulatory requirements.