Temasek Deepens Middle East Push with First Offices in Riyadh, Abu Dhabi

Singapore’s state-owned investment company Temasek Holdings Pte will open offices in Riyadh and Abu Dhabi in the first half of 2027, establishing its first physical presence in the Middle East as it steps up its search for direct investments and partnerships across the Gulf.

The new outposts, subject to regulatory approvals, will give Temasek an on-the-ground base in Saudi Arabia and the United Arab Emirates. Some of its portfolio companies are also expected to co-locate there, turning the two offices into regional hubs for businesses seeking to expand across the Middle East.

“The Middle East is an important part of Temasek’s global network,” chief executive officer Dilhan Pillay said in a statement. “The pace and ambition of economic transformation across the region are remarkable, and its long-term fundamentals remain highly attractive.”

Temasek has also backed the expansion with senior leadership. Chia Song Hwee, CEO of Temasek Global Investments, assumed the additional role of chairman for the Middle East and Africa on September 1, overseeing the group’s engagement and long-term growth in the region. Ankit Khemka, managing director for the Gulf Cooperation Council, will continue to lead its regional strategy.

The expansion moves Temasek from partnerships and co-investments towards a permanent presence in the Gulf. In May, it teamed up with BlackRock’s Global Infrastructure Partners, Abu Dhabi investment company L’IMAD and state oil giant Adnoc to set up a joint vehicle that aims to invest as much as $30 Bn in infrastructure across the Gulf and Central Asia, funded through a mix of equity and debt.

The partnership is looking at assets spanning energy, transport, logistics, digital infrastructure, water and waste management.

Sector Targets

That partnership overlaps with sectors Temasek has identified for accelerated growth in its own portfolio. The firm plans to raise its exposure to core-plus infrastructure from 1% to 5% of portfolio value by March 2031 and its AI-focussed investments from 6% to as much as 15% over the same period.

Both targets exclude exposure held through its Singapore-based portfolio companies.

The Kingdom of Saudi Arabia (KSA) and the UAE have been directing substantial capital into technology, digital infrastructure and economic diversification, creating investment opportunities across several areas Temasek has identified as long-term priorities. A permanent presence will put its dealmakers closer to regional institutions and sovereign investors while giving portfolio companies a base from which to pursue partnerships and expansion.

Temasek said it sees long-term opportunities particularly in the KSA, the UAE and Qatar. It plans to deepen engagement with institutions in Qatar while using the expanded network to improve access to opportunities elsewhere in the Middle East, Central Asia and Africa.

The Portfolio Pivot

The Riyadh and Abu Dhabi openings will expand Temasek’s global network to 15 offices across 11 countries, following its previous overseas expansion into Paris. The state investor has steadily evolved from a holder of major Singapore firms into a globally diversified investment company. Global direct investments accounted for 38% of portfolio value as of March 31, 2026, compared with 4% in 2002.

Temasek’s net portfolio value climbed to S$518 Bn ($401 Bn) at the end of March, up S$49 Bn from a year earlier. The firm invested S$51 Bn and divested S$31 Bn in its latest financial year, for a net investment of S$20 Bn.

The Riyadh and Abu Dhabi offices will give Temasek a permanent base in a region where its investment priorities increasingly overlap with government-led spending on infrastructure, technology and economic diversification, while offering its portfolio companies a direct route into some of the Gulf’s fastest-growing markets.