Riyadh – Mubasher: United International Transport (Budget Saudi Arabia) on Tuesday announced signing an exclusive franchise agreement between its subsidiary Al-Jozoor Al-Rasekha (known as Rehal) and Barloworld Logistics.

According to the agreement, Rehal will be entitled to providing logistics services in Saudi Arabia as an exclusive agent and master franchisee of Spain’s Barloworld Logistics, said Budget in a filing to the Saudi Stock Exchange (Tadawul).

The five-year deal inked Monday will commence in June 2016 and end on 31 May 2021, the company said, adding that the contract can be renewed for a similar period.

The financial impact of the deal will take effect in Rehal’s annual financials for 2017.