The late Proterozoic–age Kid Group in the southeast Sinai Peninsula is a volcano-sedimentary sequence of island-arc affinities. The group deformed in four main phases, with a thermal peak after D1, followed by a regional greenschist facies overprint during D2. Recumbent folding followed by thrusting began during D2, with the folds being propagated southward toward the arc foreland until D4, the last folding event. The thrusts are responsible for the juxtaposition of four megatectonic units above a substrate of unknown composition. These units, probably allochthonous, comprise a Basal Complex of infracrustal gneiss and three arc-related units, including inferred vestiges of a forearc accretionary prism and a marginal basin. Narrow slices of ophiolitic rocks were emplaced tectonically along the boundaries of some of these units. Melanges attributed to gravitational collapse of the forearc edifice and thrust tectonics formed, in particular, along the arc-forearc transition zone. The evolution of the Kid Group, coupled with data from the rest of the Arabian-Nubian Shield, can be well accommodated within the concept of oceanic-crust subduction, magmatic-arc development and ultimate collision between the arc complex and a continental margin.