Riyadh – Mubasher: The Saudi Arabian Military Industries (SAMI), a wholly-owned subsidiary of the Public Investment Fund (PIF), has acquired Advanced Electronics Company (AEC) as part of the largest military industries deal ever concluded in Saudi Arabia.

The purchase is expected to complete in the first quarter (Q1) of 2021 following regulatory approvals. AEC will become a 100% Saudi-owned company, according to a press release on Monday.

Chairman of SAMI, Ahmed Al-Khateeb, said, “This deal strengthens SAMI’s presence in the strategically important defence industries market and supports its plans to transfer and localise the military industries. The acquisition will also enhance AEC’s opportunities to expand and compete in its field.”

“This achievement also supports PIF’s efforts through SAMI in localising cutting-edge technology and knowledge, as well as building strategic economic partnerships,” he added.

Thanks to its 32-year experience in the military industries market and the leading role it plays in Defense and Aerospace, AEC is considered a major facilitator of the Saudi Vision 2030. In addition to facilitating the transfer of technology and enhancing local production, the acquisition will enable SAMI to consolidate its defence electronics sector.

CEO of AEC, Abdulaziz Al-Duailej, noted, “SAMI’s acquisition of AEC stock will help us reach our goals and strategic plans for the next five years. It also places us under the umbrella of the Public Investment Fund (PIF), the KSA’s sovereign wealth fund, which constitutes a milestone for the company and fills us with pride as directors and employees.”