Saudi information security company Elm has acquired digital services company Tabadul from the Kingdom’s sovereign wealth fund, the Public Investment Fund (PIF). Under the terms of the agreement, Elm will acquire 100% of Tabadul’s shares and the transaction will be completed after the required regulatory approvals are secured.
The value of the deal has not been disclosed yet.
Upon closing, Tabadul will become wholly owned by Elm, preserving its brand and identity. Tabadul’s executive management will continue to lead its operations, reporting to its existing board of directors with representation from Elm.
“The combination of Elm and Tabadul will create a one-stop-shop that will cater to the entire logistics value chain, thus accelerating its targeted sector expansion strategy and offering significant value to its partners and the market alike,” said Dr. Abdulrahman Aljadhai, chief executive officer of Elm.
Tabadul provides digital integration for the logistics sector, enabling the exchange of information, goods and services across government and private businesses in Saudi Arabia.
Dr. Aljadhai also stated that it is an opportunity to develop national logistics services that meet the current market requirements and the need of the beneficiaries.
The PIF said the acquisition will contribute to Saudi Arabia’s Vision 2030, a programme that intends benefit the country’s economy by integrating the logistics value chain.
The acquisition is in line with PIF’s mandate to support digital transformation in key sectors and will add to the value of the PIF by providing an integrated entity that focuses on the digital sector.
Elm provides various technical products, consulting services, digital outsourcing and training to both government and private businesses.
The transaction will enable Tabadul to expedite its new service offerings and solutions, added Eng. Abdulaziz Alshamsi, chief executive officer of Tabadul. “Combining Tabadul’s forces with Elm’s will allow Tabadul to leverage product capabilities and create a comprehensive logistics platform that are core to Tabadul’s growth strategy.”
