SAMI CEO says "too early" for IPO, everything possible in future

Logo of SAMI

Saudi Arabian Military Industries' (SAMI) CEO Walid Abu Khaled said that it is still too early to talk about offering the company in an IPO, but everything is possible in the future.

The top executive told CNBC Arabia that the company was established only four years ago, and a lot has been achieved since then, including employing the best global and local capabilities to build the company, as well as achieving global partnerships.

Commenting on the agreement signed with Airbus on Dec. 4, Abu Khaled said it will create hundreds of high-tech, complex and advanced jobs.

There will be a development and training program for national cadres and scholarships, he noted.

He added that the company has started the process of obtaining the necessary approvals with regard to the agreement and has received facilities from the General Authority for Competition, noting that the full approvals will be completed within three months to start operations.

SAMI has won very important strategic projects to achieve its goals during 2021, and is looking forward to winning major future contracts during 2022 and until 2030, according to the CEO.

He stated that the company's success depends on the presence of strong and solid supply chains in the Kingdom for the benefit of local companies, noting that the impact of the agreements that the company has worked on over the past four years, on supply chains and awarding contracts to local companies, will start from 2022 and beyond.

SAMI signed an agreement with Airbus to form a joint venture specialized in military aviation services and maintenance, repair and overhaul capabilities, according to Argaam's data.

It also announced launching a joint venture with France’s Figeac Aero and the Saudi Arabian Industrial Investments Co. (Dussur) to build a high-precision manufacturing facility in the Kingdom to produce aerostructure components.