Riyadh – Mubasher: A consortium joined by National Agricultural Development Company (Nadec) was awarded a contract worth SAR 2.13 billion to acquire Second Milling Company in Riyadh, which was offered for privatisation by the National Centre for Privatization and the Saudi Grains Organization.
Olam International, Al Rajhi International for Investment Company, and Abdulaziz Alajlan and Sons Company for Commercial and Real Estate Investment are the other members of the consortium, according to a bourse disclosure on Wednesday.
The companies will jointly establish a limited liability company, in which Nadec will own 10% of the capital.
The acquisition transaction is part of Nadec’s expansion plan to enhance the value of its investments in the flour milling sector in Saudi Arabia.
The listed company has turned profitable in 2020 after achieving net earnings after Zakat and tax of SAR 35.65 million, against net losses of SAR 7.3 million in 2019.
