United Wire Factories, a leading Saudi industrial group in Saudi Arabia, said it has signed an agreement with UAE-based A-1 Fence DMCC for acquiring a major stake in its subsidiary A -1 Fence Arabia Company for Industry, an integrated perimeter security solutions group based in the kingdom.
Headquartered in the kingdom's Eastern Province, A-1 Fence Arabia boasts a wide gamut of industries ranging from farmlands to military forces in more than 50 countries.
Today, it has six manufacturing facilities spread between the UAE, Oman and India and 8 sales offices across the globe.
The deal builds on the February 20 announcement by the United Wire Factories of signing a (non-binding) MoU with A-1 Fence DMCC (UAE) for the possible acquisition of the strategic stake in the A -1 Fence Arabia Company for Industry, said the company in its filing to Saudi bourse Tadawul.
The acqusition move comes following United Wire Factories' solid performance in the first quarter ended March 31, 2022, wherein it recorded a 31.8% jump in its revenue which soared to SR299 million ($79.6 million) from SR227 million ($60.4 million) last year.
The surge was mainly due to the sales volume growth despite the rise in selling and general expenses and the decrease in expenses charged to trade debtors, it added.-TradeArabia News Service