Vehicle leasing firm Budget Saudi in deal to acquire AutoWorld
RIYADH, December 25, 2023
The United International Transportation Company (Budget Saudi), a leading vehicle leasing firm in the kingdom, has signed a share purchase and subscription agreement with Saudi Economic and Development Holding Company (Sedco) to fully acquire its entire stake in Al Jazira Equipment Company (AutoWorld).
Autoworld is one of the companies operating in the long-term operational leasing and car maintenance sector in the kingdom.
The transaction will be concluded through Budget Saudi’s wholly-owned subsidiary, Al Jozoor Al Rasekha Trucking Company (Rahaal), by issuing new shares to the owner of AutoWorld’s capital in Budget Saudi, said Budget Saudi in its filing to the Saudi bourse Tadawul.
As per the deal, Budget Saudi’s capital will be increased from SAR711.67 million to SAR781.67 million by issuing 7 million ordinary shares.
Accordingly, the total number of Budget Saudi shares will increase from 71.17 million to 78.17 million, representing a jump of about 9.84% of Budget Saudi’s share pre-acquisition capital.
With this, Budget Saudi's market value now stands at SAR4.6 billion, corresponding to SAR65 per share.-TradeArabia News Service
