Wedoany.com Report on Mar 9th, The Saudi National Industrialization Company (Tasnee) has signed an agreement with Saudi Transformation Industrial Holding Company (Tahweel) to sell its downstream plastics business in a cash transaction valued at SAR 700 million (approximately USD 187 million). The deal involves Rowad Industrial Transformation Company and several of its subsidiaries, including Rowad Global Packaging, Taldeen Plastic Solutions, and Rowad National Plastics, forming a diversified plastics platform covering products such as BOPP films, agricultural films, HDPE pipes, industrial plastic pallets, and HDPE/LLDPE geomembrane liners.

Tasnee stated that this move aims to strengthen its balance sheet and focus on its core petrochemical business, reflecting a strategic adjustment. Fawaz M. Al-Fawaz, a member of Tasnee's Board of Directors and its CEO, noted: "This transaction demonstrates our prudent approach to capital allocation while being committed to improving our financial position and supporting our petrochemical strategic priorities. It helps optimize the capital structure, directing resources towards long-term objectives to create sustained value for shareholders. We are confident that this business will continue to thrive under Tahweel's management, which is focused on the downstream sector."

For Tahweel, this acquisition expands its downstream conversion capabilities. Nader S Al-Dakheel, CEO of Tahweel, said: "We are delighted to acquire this high-quality portfolio of businesses and welcome its experienced team. We see strong potential for its development and plan to invest to enhance customer value and long-term growth. The acquisition enriches our product offerings, enabling us to better serve our customers through a broader range of integrated solutions."