SAL signs logistics services agreement with flyadeal

Under this agreement, SAL Logistics Division will provide flyadeal with a range of logistics services

SAL Saudi Logistics Services Co. signed today, Nov. 25, through SAL Logistics Division, a three-year logistics services agreement with flyadeal, according to a Tadawul disclosure.

Under this agreement, SAL Logistics Division will provide flyadeal with a range of logistics services, including freight forwarding, customs clearance, transportation, and warehousing.

There is no fixed contract value. Services will be priced, invoiced, and paid based on quotations and actual service requests issued by flyadeal during the contractual term, the statement added.

The agreement is expected to have a positive impact on the company's financial results over the duration of the agreement, SAL said, noting that the three-year deal is effective as of today, automatically renewable unless either party notifies otherwise, in accordance with the terms of the agreement.

Meanwhile, the company disclosed that the agreement is a related-party transaction as Saudi Arabian Airlines Corporation has a direct interest in it, in addition to indirect interests through the board members Fahad Moussa, Ibraheem Sheerah and Ahmad Alwassiah.