Elm subsidiary signs contract with Ministry of Commerce to digitize services

Logo of Elm Co.

Elm Co. announced that its wholly owned subsidiary, Thiqah Business Services Co., signed a contract with the Ministry of Commerce to digitize the ministry’s services and provide services electronically to beneficiaries. The expected revenue over the contract term is nearly 19% of Elm’s total revenue, based on its audited 2025 annual financial statements.

In a statement to Tadawul, Elm said the five-year contract started on Sept. 3. The contract is based on a revenue-sharing model, with its value linked to the number of transactions processed and no fixed total contract value.

The scope of the contract includes developing, operating and managing the services and products covered under the agreement through a revenue-sharing model, leveraging the ministry’s relevant data, procedures and systems.

The agreement aims to ensure continuity of service delivery, improve operational efficiency and enhance the beneficiary experience, while supporting financial and operational governance and oversight objectives.

Elm expects the contract to have a positive impact on its revenue over its term, as it could support the expansion of related products and services.

The new contract replaces the previous agreement between the Ministry of Commerce and Thiqah Business Services, offering improved commercial terms and benefits that are expected to have a positive impact on Elm’s financial performance.

The company added that the agreement is part of efforts to realize revenue synergies from its acquisition of Thiqah Business Services.