Mayar subsidiary inks MoU to fully acquire 2 businesses

Logo of Mayar Holding Co.

Mayar Holding Co.’s subsidiary, Elevator Solutions Investment Co., signed today, June 5, a non-binding memorandum of understanding (MoU) with both ITM Co. and Smart Elevators Co. within one acquisition deal.

The deal aims to acquire 100% of the total shares of the two companies, including their rights and obligations, upon reaching a final agreement between the parties, according to a statement to Tadawul.

The MoU is valid for three months from the signing date and could be renewed only with a written addendum between the parties. The agreement will expire at the end of its term or with the signing of a binding agreement between the parties, the statement added.

For More Mergers and Acquisitions

This memorandum aims to define the framework of understanding about the initial mutual obligations and rights between the two parties, Mayar said, adding that it is conditional on the results of the financial and legal due diligence work and negotiation to reach the final evaluation.

Mayar explained that the MoU includes a number of generally accepted provisions that regulate information confidentiality, exclusivity, and restrictions on certain essential actions.

The potential deal will only be implemented if the parties reach a final, binding agreement that establishes the deal's terms and conditions, the company added.

The acquisition is part of Elevator Solutions' strategy to expand the market for selling, installing, and maintaining elevators and escalators, as well as Mayar's goal of continuous growth and sustainability.

No related parties are included in the deal and any updates in this regard will be announced in a timely manner, Mayar further stated.