Aslak extends MoU for Al Raeda stake acquisition to December-end

Aslak products​

United Wire Factories Co. (Aslak) extended the memorandum of understanding (MoU) signed with Al-Raeda Industrial Investment Co. for a period of 184 days, ending on Dec 31, 2025.

In a statement to Tadawul, the company stated that the agreement is extendable by a written agreement between the two parties.

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According to data available with Argaam, Aslak signed, on Dec. 31, 2024, a non-binding agreement with Al Raeda to acquire 40% of the latter’s issued shares in return for issuing new shares for the selling shareholders of Al Raeda in Aslak.

The valuation of Aslak shares for the purpose of the contemplated transaction was fixed at SAR 29.7 per share.

In an interview with Argaam in January, Aslak's CEO, Nabil Al-Amir, stated that the company will use a comprehensive financial analysis and fair value comparison to determine the share swap ratio for its potential acquisition of a 40% stake in Al Raeda.

He clarified that the planned acquisition seeks to accomplish key strategic goals, including diversifying revenue streams by breaking into new industrial sectors and reducing reliance on a sole business activity.