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![video link button](/Content/en/images/attachement-icon.jpg)
Logo of Almujtama Alraida Medical Co.
Almujtama Alraida Medical Co. signed on June 6 a non-binding memorandum of understanding (MoU) with Meem Alif Investment Co. to establish activities for trade, supply and distribution of general and specialty pharmaceuticals, medical supplies, medical equipment, cosmetic products, and other medicines and healthcare products in Saudi Arabia.
In a statement to Tadawul, the company pointed out that the one-year MoU seeks to address the growing demand in Saudi Arabia, to order to support the highest standards of excellence and business practices. The deal also targets protecting and enhancing the reputation of both parties, and creating a long-term strategy that ensures attractive returns on investments and promotes business growth.
A committee will be formed by both parties to discuss ways for commercial cooperation and exchanging experiences and knowledge across various relevant fields. The committee may seek the assistance of experts from a third party to conduct a comprehensive assessment, within 90 days from the effective date.
Moreover, the committee is responsible for submitting to the parties a feasibility study full-length report, including the regulation and pricing mechanism, especially for pharmaceutical products, evaluation of the market business model, society and business strategy, detailed business model, a financial model to anticipate the required investments and expected financial performance, as well as a list of the required resources, systems, and personnel.
There are related parties to the deal, namely Mohamed Abunayan, a major shareholder in Almujtama Medical with 5.81% stake on the date of this announcement. He is the father of Rakan, Ghada and Yara Mohamed Abdullah Abunayan, partners in Meem Alif Investment.
Another related party is Abdullah Abunayyan Trading Co., shareholding in Almujtama Medical with a 0.13% stake, whereas Mohamed Abdullah Abunayan, the father of Rakan Abunayan, owns 8.39% of Abdullah Abunayyan Investment Holding, which owns 100% of the Abdullah Abunayyan Trading.
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