Riyadh – Mubasher: Shmoh Almadi Company has signed a contract with Osus Modern Buildings Company for the execution of finishing works at its new manufacturing facility located in the Second Industrial City in Qassim.

The agreement is valued at SAR 10.84 million excluding Value Added Tax (VAT), marking a critical milestone in the company’s infrastructure development, according to a bourse disclosure.

This contract follows the successful engagement of the same contractor for the structural and concrete phases of the project, ensuring continuity in the construction of the facility which is central to Shmoh Almadi’s long-term production expansion strategy.

The contract signing was finalized on 16 June 2026 and formalizes the next phase of development for Shmoh Almadi’s industrial assets.

Under the terms of the agreement, Osus Modern Buildings will be responsible for all finishing works at the Qassim site, adhering to specific technical requirements and standards outlined in the tender documents.

The project is scheduled to be completed within a 12-month timeframe from the date of the signing.

The decision to award this contract to Osus Modern Buildings stems from their existing involvement in the project.

Having already managed the concrete and structural framework of the plant, the contractor possesses an intimate understanding of the site’s architectural specifications. Shmoh Almadi indicated that this continuity is expected to facilitate a streamlined transition into the final stages of construction.

This project is a fundamental component of Shmoh Almadi’s broader corporate strategy. By establishing this new facility in the Second Industrial City, the company aims to significantly increase its current production volumes.

Meanwhile, the expansion is designed to address the rising market demand for the company’s products while maintaining high-quality standards.

Management of Shmoh Almadi expects that the enhanced production capacity will strengthen the firm’s competitive positioning within the Saudi Arabian market and support its overarching growth and revenue targets.

Regarding the financial implications of the deal, Shmoh Almadi noted that while the immediate phase involves capital expenditure, the company anticipates a positive financial impact on its fiscal results once the factory transitions into the operational phase.

The increased output from the new plant is projected to contribute to the company’s top-line growth in future reporting periods.

In compliance with regulatory transparency requirements, Shmoh Almadi confirmed that there are no related parties involved in this transaction.

Moreover, the contract was awarded based on commercial merit and aligns with the company’s internal procurement and development protocols.