RIYADH, SAUDI ARABIA – Red Sea International (RSI) has met all conditions required to complete the transfer of 51 percent of fundamental Installation for Electric Work Co. Ltd. (First Fix).
All purchased shares were transferred from the seller to RSI on October 1 2023, according to a statement to Tadawul.
The deal value will be funded in two tranches, with the first tranche worth US$66.6 million (SAR 250 million), paid in cash at the acquisition’s closing from the company’s resources, the statement added.
The selling shareholders will receive a deferred sum of US$78.4 million (SAR 294.17 million) upon the fulfillment of certain relevant conditions.
Under the transaction, RSI will have the option to capitalize debt through the issuance of additional shares in First Fix, representing the deferred consideration, subject to regulatory and corporate approval.
The deal will help the company acquire electromechanical and civil construction operations.
The acquisition will positively reflect on both firms.
