Saudi Arabia-based leading strategic investment company Saudi Industrial Services Company (Sisco) is acquiring a 31.7 percent stake in UAE’s investment firm Green Dome from its subsidiary Saudi Trade & Export Development Company (LogiPoint) for $12 million (SR 44.5 million).
According to the statement, the transaction will unlock synergies for Sisco and its portfolio companies to support the delivery of long-term shareholder value and is in line with its five-year strategy to expand logistics services. Sisco said that “its Board of Directors has approved the acquisition.”
Dubai-based Green Dome is a logistics investment fund that invests in companies positioned to benefit from the growing demand for integrated logistics in the wider GCC region.
Mohammed Al Mudarres CEO – Sisco
“Integrating Green Dome directly into the Sisco group supports our five-year strategy to deepen our penetration of the logistics services space and will enable us to unlock and realize significant synergies for both Sisco and Green Dome. Its focus on investing in profitable, well-managed companies that have a demonstrable track record of success is in line with our philosophy to create long-term shareholder value through efficient capital allocation while optimizing our portfolio through organic and inorganic opportunities.”
Green Dome’s buy-and-build strategy targets companies that are profitable, well-managed, and have a demonstrable track record of success in order to generate economies of scale in the logistics services market.
The Board believes that Green Dome’s strategy is aligned with Sisco’s strategy of expanding its presence in logistics services and be a leading player with a presence across the logistics value chain, as per the reports.
Last year, Green Dome acquired 100 percent of the share capital of the leading international transportation and end-to-end supply chain solutions provider, Elite Logistics.
