Alujain inks non-binding deal to acquire fertilizer firm

Alujain Corp. signed on July 4 a non-binding agreement to acquire the non-listed National Fertilizers Co. (Mobi), the firm said in a bourse statement.

The sale value was not disclosed, however, the parties have agreed on an initial value, while the final value and acquisition method will be done after completing the due diligence, it said.

The six-month agreement is renewable and has no related parties, the statement said.

Swicorp was named Alujain’s financial advisor, while Falcom Financial Services acted as Mobi’s advisor.

The deal aims to double Alujain’s share in the local detergents market and raise its operating efficiency through merging subsidiary Zain Industries into Mobi, in-line with the firm’s strategy to diversify its investments and reach the target growth rates.

Further developments will be disclosed as they occur, the statement added.