SASCO subsidiary seals deal to acquire 70% of Tadbeer

Logo of Saudi Automotive Services Co. (SASCO)

Saudi Automotive Services Co. (SASCO) said its subsidiary, Investments and Equipment Co., sealed an agreement to acquire a stake in Tadbeer Recruitment Co., after completing due diligence (financial and legal) and receiving preliminary approval to upgrade the latter from Class B to A.

The deal was signed today, Jan. 19, SASCO said in a Tadawul filing.

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Under the agreement, Investments and Equipment will acquire 70% of Tadbeer’s capital for SAR 85 million, raising the latter’s capital from SAR 20 million to SAR 100 million.

The acquisition is contingent on obtaining the final approval and Tadbeer’s upgrade to Class A within four months of the capital increase payment.

The SAR 85 million acquisition will be financed through the company’s existing credit facilities, the statement said, adding that SASCO will announce any further developments in due course.

SASCO announced in November 2024 that its subsidiary and Tadbeer agreed to extend their MoU for an additional three months from its expiry date, under the same terms, according to Argaam’s data.

In August 2024, SASCO’s Investments and Equipment signed a MoU to acquire 70% of Tadbeer’s capital for SAR 85 million, conditional on converting the latter from Class B to A and raising its capital to SAR 100 million from SAR 20 million.