Logo ofNaqi Water Co.
Naqi Water Co. today signed a Memorandum of Understanding (MoU) to acquire a 70% stake in Ahali Najd Car Rental Co., in a move aimed to strengthen the company’s growth drivers and expand the scope of its business operations. 
The MoU sets out an agreement between Naqi Water and Ahali Najd Car Rental to regulate the procedures for the proposed acquisition in accordance with the terms and conditions mutually agreed upon by the parties, subject to the completion of the applicable regulatory requirements, the company said, in a statement to Tadawul.
According to Naqi Water, the MoU term is 180 days from the date of its execution, subject to extension by a written agreement between the parties.
It noted that the related financial impact will be determined upon completion of the final valuation.
The signing of the MoU aims principally to enhance Naqi Water’s strategy of expansion and investment in promising commercial opportunities that positively reflect on the interests of its shareholders and strengthen its financial position and operational capabilities.
It is aligned with Naqi Water’s strategy to expand and diversify its business activities through the acquisition of a controlling stake of 70% in Ahali Najd Car Rental, a leading and rapidly growing company in the car rental sector, thereby supporting the company’s direction toward capitalizing on promising opportunities and strengthening its market position, the statement added.
Moreover, the acquisition is expected to promote operational integration and synergy between the two companies and enable the utilization of accumulated expertise and capabilities, thereby contributing to improved operational efficiency, business development, and value maximization for shareholders, in addition to benefiting from growth opportunities in the car rental sector.
Naqi Water further said that the transaction will be financed through its internal resources and available cash flows without the need for external financing. This is expected to support the company’s future expansion plans and increase the size of its owned vehicle fleet and operational capabilities.
Logo ofNaqi Water Co.
Naqi Water Co. today signed a Memorandum of Understanding (MoU) to acquire a 70% stake in Ahali Najd Car Rental Co., in a move aimed to strengthen the company’s growth drivers and expand the scope of its business operations.
The MoU sets out an agreement between Naqi Water and Ahali Najd Car Rental to regulate the procedures for the proposed acquisition in accordance with the terms and conditions mutually agreed upon by the parties, subject to the completion of the applicable regulatory requirements, the company said, in a statement to Tadawul.
According to Naqi Water, the MoU term is 180 days from the date of its execution, subject to extension by a written agreement between the parties.
It noted that the related financial impact will be determined upon completion of the final valuation.
The signing of the MoU aims principally to enhance Naqi Water’s strategy of expansion and investment in promising commercial opportunities that positively reflect on the interests of its shareholders and strengthen its financial position and operational capabilities.
It is aligned with Naqi Water’s strategy to expand and diversify its business activities through the acquisition of a controlling stake of 70% in Ahali Najd Car Rental, a leading and rapidly growing company in the car rental sector, thereby supporting the company’s direction toward capitalizing on promising opportunities and strengthening its market position, the statement added.
Moreover, the acquisition is expected to promote operational integration and synergy between the two companies and enable the utilization of accumulated expertise and capabilities, thereby contributing to improved operational efficiency, business development, and value maximization for shareholders, in addition to benefiting from growth opportunities in the car rental sector.
Naqi Water further said that the transaction will be financed through its internal resources and available cash flows without the need for external financing. This is expected to support the company’s future expansion plans and increase the size of its owned vehicle fleet and operational capabilities.
