Dar Almarkabah signs MoU to acquire Al Sahm Car Rental

Logo of Dar Almarkabah for Renting Cars Co.

Dar Almarkabah for Renting Cars Co. signed on Aug. 10 a memorandum of understanding (MoU) with Al Sahm Car Rental Co. to acquire the latter.

In a statement to Tadawul, Dar Almarkabah said the MoU, which is effective for six months, defines the framework for the preliminary mutual rights and obligations between the parties.

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Under the MoU, the financial and legal due diligence will also be conducted. This is in addition to determining the acquisition percentage and the financial consideration for the transaction based on the results of the financial valuation and due diligence.

The MoU also includes customary provisions governing the confidentiality of information.

No financial advisor has been appointed at this stage, the company said, adding that any material developments will be announced in due course.

The acquisition will be subject to a number of regulatory approvals, including the relevant authorities in Saudi Arabia, and any other approvals required to complete the transaction.

The company will follow all applicable regulatory procedures to complete the negotiations and reach the final agreement.

According to Argaam data, Al Sahm was founded in 2019 in Jeddah as a car rental company. It operates a fleet for vehicle rentals, including long-term rentals.