Almujtama Medical to buy SAR 11.36M automated warehouse system

Logo of Almujtama Alraida Medical Co.

Almujtama Alraida Medical Co.’s board of directors approved the signing of a contract to purchase an automated system (robot) for warehouses from Germany’s BD through its agent in Saudi Arabia, Abdulrahman Al Gosaibi General Trading Co., for SAR 11.35 million, including VAT.

In a statement to Tadawul, the company said the contract includes the purchase of an automated warehouse system to operate the company’s main warehouse as well as one of its pharmacies.

This aims to reduce labor costs and complete operational processes within the warehouse as quickly and accurately as possible, Almujtama Medical added.

The company clarified that the terms of the deal include an installation period ranging from 24 to 37 weeks from the contract signing date. The contract covers the supply, installation, and operation of the equipment, as well as training the employees on it.

The terms also include a warranty period of five years, including spare parts and maintenance costs, and an advance payment of SAR 575,000 upon signing the contract. This is in addition to fixed monthly installments of SAR 1.07 million for the remaining amount over 10 months.

The deal, Almujtama Medical explained, aims to introduce modern technology across all operational processes, contributing effectively to the company’s development and reducing reliance on human resources in the warehouse. This will lead to cost reduction and faster, more accurate operational processes.

Almujtama Medical expects the deal will reduce labor costs, speed up the execution of operations, and improve their accuracy.

There are no related parties to the contract, the statement added.