Mobico Group’s Spanish subsidiary Alsa mobilises intercity services in Saudi Arabia
23 October 2023 3:00 PM
Alsa, the leading Spanish transport business, has been awarded a ten-year contract by the Transport General Authority (TGA) in the Kingdom of Saudi Arabia to operate 27 long-haul coach routes connecting 80 destinations in the southern part of the region.
The routes are expected to carry 1.5 million passengers a year and to be delivered by a fleet of 129 coaches and a workforce of 600 employees.
Alsa will operate the routes in a joint venture with SAPTCO, the main intercity operator in Saudi Arabia. The agreement is expected to deliver total revenues of €500 million over the 10 years of the contract, with total revenue generated determined by ticket sales.
Saudi Arabia authorities have implemented these services to improve connectivity between regions and intercity transport quality standards. This has provided entry to qualified operators with proven technical experience such as Alsa.
Francisco Iglesias, Alsa CEO, said: "The start of operations in Saudi Arabia is an important boost for our international growth and is in line with our ambition to be a global leader in mobility services. This is a significant milestone for Alsa and is testament to our knowhow and technological innovation in the management of public contracts."
In addition, Alsa expects to start the operation of its metropolitan services in Porto by the end of the year, adding to the services that commenced operation in Lisbon in 2022. This will represent a significant presence for Alsa in Portugal’s two main cities.