Riyadh – Mubasher: Saudi Industrial Export Company (SIEC), known as Sadirat, has signed a non-binding memorandum of understanding (MoU) with Entaj Industrial Services Company to consider either equity acquisition or a takeover of the entire capital of Advanced Energy Trading and Contracting Company.
Advanced Energy Trading is a single-person company and one of the subsidiaries of Entaj Industrial Services Company, according to a bourse filing.
Sadirat elaborated that the non-binding MoU will be effective for six months from the signing date, 27 November 2024. However, the duration can be extended or renewed for a similar period or periods upon the agreement between the listed company and Entaj Industrial.
Meanwhile, there is no financial advisor appointed at this stage of the MoU, yet a specialist advisor will be appointed to complete the due diligence process.
Completing the potential transaction will be subject to several conditions such as obtaining the necessary regulatory approvals in accordance with the relevant systems and regulations.
Sadirat stated: “The implementation of the potential acquisition is subject to the two companies agreeing on a final binding agreement that sets out the terms and conditions of the deal.”
It added: “Accordingly, the conclusion of the MOU does not necessarily mean that the two parties will reach a final and binding agreement regarding the potential acquisition or that the potential acquisition will take place between the two parties.”
