Red Sea International announces change in First Fix acquisition’s related parties

Logo of Red Sea International Co. (Red Sea)

Red Sea International Co. (RSI) announced a change in the identity of related parties in the acquisition of a 51% stake in Electric Work Co. Ltd. (First Fix). The company signed two agreements to amend the acquisition agreement terms, with some sellers transferring part of their compensation to third parties.

Since the prior acquisition agreement could only be amended with all parties' consent, RSI provided written approval by signing the two deals, the company said in a statement to Tadawul today, Feb. 19.

The agreements ensure the rights transferred under them are fulfilled by capitalizing the potential debt to be incurred in light of the previously announced debt restructuring process. No additional financial obligation will be entailed as a result of this change, it added.

In June 2023, RSI announced the acquisition of 51% of First Fix, a primary electrical installation company, for a cash consideration of SAR 544.2 million, according to data compiled by Argaam.