Saudi Arabia marks privatization milestone with $800m flour mill deals

The sale of the Saudi flour mills represents a central plank of the Kingdom's privatization push. (Supplied)

• Assets transferred on basis of highest bids received

RIYADH: Saudi Arabia has raised almost $800m from the sale of two major flour mills, as its privatization program gathers pace.
The National Center for Privatization and PPP (NCP) and the Saudi Grains Organization (SAGO) completed the sale of both the Second and Fourth milling companies to qualified strategic investors, SAGO said in a filing.
A consortium comprised of Abdulaziz AlAjlan Sons Co. for Commercial and Real Estate Investments, Sulaiman Abdulaziz AlRajhi International Co., NADEC, and Olam International Limited has acquired the Second Milling Company for SR2.14 billion ($570 million).
Meanwhile the Fourth Milling Company was sold to a consortium of Allana International, Abdullah Al Othaim Markets, and United Feed Manufacturing Company for SR859 million.
Both awards were based on the highest financial bids submitted by qualified strategic investors, SAGO said.