EFG Hermes Completes Advisory on Budget Saudi’s USD 121 Million Acquisition of AutoWorld

Riyadh, July 21, 2024

EFG Hermes, an EFG Holding Company and the leading investment bank in the Middle East and North Africa (MENA), announced today that its investment banking division successfully completed advisory for United International Transportation Company, or Budget Saudi’s USD 121 million acquisition of Al-Jazira Equipment Company, known as AutoWorld, a SEDCO Holding-owned vehicle leasing company. EFG Hermes was appointed as the sole financial advisor on the transaction by Budget Saudi.

Budget Saudi is acquiring 100% of AutoWorld by issuing 7.0 million new shares to its owner, SEDCO Holding, one of the leading Saudi family offices and institutional investors. The company will execute this transaction through its wholly-owned subsidiary Al Jozoor Al Rasekha Trucking Company (“Rahaal”). The 100% share swap will be executed at SAR 65 per share.

Karim Meleka, Co-Head of  EFG Hermes’ Investment Banking division, commented, “This transaction marks a significant milestone in the mobility solutions sector in the Kingdom of Saudi Arabia. By combining the strengths of Budget Saudi and AutoWorld, the companies are creating a new powerhouse in mobility solutions that will drive innovation and efficiency in the sector. The two companies will unlock synergies, optimize operations, and enhance service offerings to corporate clients. We are proud to have played a pivotal role in advising on this transaction, which emphasizes EFG Hermes’ commitment to delivering exceptional value to our clients and contributing to the growth of the regional economy.”

This transaction is the latest in a series of M&A deals that EFG Hermes has advised on in the GCC region over the years. Most recently, the division concluded advisory on a M&A deal for Cenomi Retail, the largest franchise retailer in the Kingdom of Saudi Arabia, in its sale of a select portfolio of brands to Abdullah Al-Othaim Fashion Company. It also advised on MENA-based discount retailer Kazyon’s acquisition of a 50% stake in Dukan in Saudi Arabia earlier this year.

About EFG Holding

EFG Holding (EGX: HRHO.CA – LSE: EFGD) is a trailblazing financial institution that boasts a remarkable 40-year legacy of success in nine countries spanning three continents. Operating within three distinct verticals — the Investment Bank (EFG Hermes), Non-Bank Financial Institutions (NBFI) (EFG Finance), and Commercial Bank (aiBANK) — the company provides a comprehensive range of groundbreaking financial products and services tailored to meet the needs of a diverse clientele, including individual clients and businesses of all sizes.

EFG Hermes, the leading investment bank in the Middle East and North Africa (MENA), offers an extensive array of financial services, encompassing advisory, asset management, securities brokerage, research, and private equity. In its domestic market, EFG Holding serves as a universal bank, with EFG Finance emerging as the fastest-growing NBFI platform, comprising Tanmeyah, a leading provider of financial services in Egypt with a concerted focus on the micro and small enterprise segments, EFG Corp-Solutions, which provides leasing and factoring services, Valu, a versatile financial technology powerhouse, PayTabs Egypt, a digital payment platform, as well as Bedaya for mortgage finance and Kaf for insurance. Furthermore, the company delivers commercial banking solutions through aiBANK, a leading provider of integrated retail, corporate, and Islamic banking products in Egypt.

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