Saudi Defense Ministry Concludes 10 Agreements with Local, Int'l Companies

The World Defense Show features latest technologies in the fields of land, sea, air, space and information security. (Asharq Al-Awsat)
The World Defense Show features latest technologies in the fields of land, sea, air, space and information security. (Asharq Al-Awsat)
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Saudi Defense Ministry Concludes 10 Agreements with Local, Int'l Companies

The World Defense Show features latest technologies in the fields of land, sea, air, space and information security. (Asharq Al-Awsat)
The World Defense Show features latest technologies in the fields of land, sea, air, space and information security. (Asharq Al-Awsat)

On the third day of Saudi Arabia’s World Defense Show, which coincided with International Women’s Day, participants focused on stimulating the role of female leaders in defense and security worldwide.

Saudi ambassador to the United States, Princess Rima bint Bandar bin Sultan bin Abdulaziz said on Monday that empowering Saudi women was at the heart of Vision 2030, underlining the importance of sustaining this momentum at the global level.

She added that the Women in Defense program, which was unveiled during the major defense event hosted in Riyadh, provided a unique platform that highlight the importance of achieving equality and enhancing the role of women in the sector.

The program inauguration ceremony was held in the presence of Phebe Novakovic, CEO of General Dynamics, and Marion Blakey, former President and CEO of Rolls-Royce North America and Director of the Federal Aviation Administration, and a member of the Supervisory Committee of the World Defense Show.

Other prominent female attendees included Dana Stroul, Deputy Assistant Secretary of Defense for the Middle East, Heidi Grant, Vice President of Business Development for Boeing and former President of the US Defense Security Cooperation Agency, Dr. Moudhi Al-Jamea, Vice President of the Saudi Telecom Company, and Mashael Al-Shammari, a consultant in the field of space technology and the first female aeronautical engineer in the GCC.

Penny MacPherson, head of the Women in Defense program at the World Defense Show, said that the exhibition comes at an appropriate time for both Saudi Arabia and the global defense industry, adding that the presence of women leaders from all over the world will support their advancement at the local and international levels.

Meanwhile, the Saudi Ministry of Defense signed a number of agreements on Monday, including a contract with Naval Group Arabia Ltd. Worth more than 800 million riyals ($213 million), to provide technical and logistical support services for the Royal Saudi Navy. The contract was signed by Dr. Khaled Al-Biyari, Assistant Minister of Defense for Executive Affairs, and Didier Fouilly, CEO of Naval Group Arabia.

The ministry also signed a contract worth SR3 billion with Hanwha, a Korean defense company. The contract was signed for the Riyal Saudi Land Forces to support its defense capabilities, in addition to localization and supply chain services.

The Ministry of Defense also concluded three different contracts worth SR1.7 billion with Alsalam Aerospace Industries for providing maintenance services for the Royal Saudi Air Force.

With an amount exceeding 400 million riyals ($106 million), the ministry concluded a contract with the Saudi Aircraft Maintenance and Configuration Company, for the Royal Air Force, for technical support services for C-130 aircraft. The contract was signed by Ibrahim Al-Suwaid, Undersecretary of the Ministry of Defense for Procurement and Armament, and Engineer Muneer Bakhsh, CEO of the company.

Moreover, a deal worth more than SR430 million was signed with Norinco, a Chinese company, aimed at securing different types of ammunition for the General Directorate of Arms and Ammunitions.

The Ministry of Defense also signed an SR460 million contract with Poongsan Corporation to secure various types of ammunition for the General Directorate of Arms and Ammunitions.

Another deal was signed with Korean LIG Nex1, amounting to more than 250 million riyals ($66 million), to acquire defense capabilities and electro-optical equipment for the Saudi Royal Navy.

In comments, Al-Biyari said: “The contracts concluded by the Ministry of Defense come in accordance with the directives of Crown Prince Mohammad bin Salman bin Abdulaziz, and the follow-up of Prince Khalid bin Salman, Deputy Minister of Defense, with the aim of raising the readiness of the armed forces, sustaining systems, localizing military industries and maximizing the use of local content.”

He added that contracts forged with local and international companies confirmed the Saudi leadership’s great support and attention to the armed forces, whether in the field of systems manufacturing or assigning.

The Ministry of Defense is participating in the World Defense Show 2022 as the main partner. The exhibition discussed over three days the latest technologies in the fields of land, sea, air, space and information security, and showcased the capabilities of integrated and innovative defense solutions.

Founded by the General Authority for Military Industries, the event featured some of the world’s most cutting-edge, futuristic defense equipment. Almost 600 global companies are taking part in the event, representing over 40 countries.



Saudi PIF, Elm Sign Agreement for Elm to Acquire Thiqah

The Public Investment Fund (PIF) logo
The Public Investment Fund (PIF) logo
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Saudi PIF, Elm Sign Agreement for Elm to Acquire Thiqah

The Public Investment Fund (PIF) logo
The Public Investment Fund (PIF) logo

The Public Investment Fund (PIF) and Elm, a leading digital solutions company, have signed a share sale and purchase agreement for Elm to acquire Thiqah Business Services Company – a firm specializing in smart technology solutions for business services – in a deal valued at $907 million (SAR3.4 billion).

Completion is expected once regulatory approvals are obtained and certain conditions are satisfied under the agreement.

According to a PIF statement, the transaction will further support a thriving local information and communication technologies (ICT) ecosystem and contribute to PIF’s strategy which aligns with the Vision 2030 aim of using digital transformation to create the high-skills jobs of the future and further grow the Saudi economy. The deal will enhance the growth of the ICT sector, drive innovation, and localize technologies and knowledge by strengthening Elm to lead the sector at the national level, maximizing the value chain by providing a wide range of ICT products, services and devices.

The ICT sector is among PIF’s strategic priority investment sectors, being a key enabler of other key sectors, including entertainment, financial services, healthcare, transport and logistics, and utilities and renewables, the statement said.

“PIF is committed to enabling the creation of national champions which contribute to driving the development and growth of the Saudi economy. PIF’s sale of Thiqah to Elm will contribute to enhancing the vital role of the ICT sector and will strengthen efforts to localize technology and drive innovation,” Head of Technology and Media, MENA Investments, at PIF Shahd Attar said.

CEO of Elm Mohammad Abdulaziz Alomair said: “This is an important transaction for Elm, as it enhances integration, rationalizes spending, increases profitability, and provides qualitative advantages for both parties and the market.”

“The combined integrated entity will be better able to create advanced national smart services to serve market requirements and clients’ needs. It will also contribute to facilitating innovative operations and capabilities to develop products in the business field with cost advantages while achieving economies of scale,” he added.