Al Arabia fulfills conditions to acquire Faden Media

Logo of Arabian Contracting Services Co. (Al Arabia)

Arabian Contracting Services Co. (Al Arabia) announced, on March 5, that all the conditions set by the General Authority for Competition (GAC) for the full acquisition of Faden Media were fulfilled within the regulatory period.

According to a statement to Tadawul, the ownership of Faden Media (a fully owned subsidiary of Al Arabia) in Wave Media Co. (an outdoor advertising company owned 42.5% by Faden Media) was transferred to a fund regulated by the Capital Market Authority (CMA), with the company being the sole unitholder of the fund. Derayah Financial is the fund manager and Saudi Fransi Capital is the custodian of the fund.

The statement pointed out that a fund manager licensed and regulated by the CMA was appointed. The fund manager is responsible for managing the fund and appointing independent representatives to the board of directors of Wave Media.

Neither Al Arabia nor any of its subsidiaries are permitted to have any representation on the board of Wave Media or to influence its decisions, the statement noted.

The company has submitted six monthly reports (one report for each month) to the GAC, in compliance with the authority's conditions, on the progress made in fulfilment of the obligations outlined in clauses 1 and 2.

The acquisition value of Faden Media is SAR 1.05 billion, the statement highlighted, adding that the value has not changed during the period of fulfilling the conditions of the authority.

In October 2023, Al Arabia said it has completed all procedures related to the 100% acquisition of Faden Media and the transfer of its ownership, Argaam reported.

Al Arabia’s board approved, in October 2022, a purchase agreement to fully acquire Faden Media, for SAR 1.05 billion. It obtained a conditional approval from the GAC in August 2023 to complete the acquisition.