RIYADH, SAUDI ARABIA — The National Center for Privatization and PPP (NCP) and the Saudi Grains Organization (SAGO) announced the sale of the second milling company and fourth milling company to investors as part of the final stage of the flour milling sector privatization.

The formal signing took place at the Ministry of Environment, Water and Agriculture (MEWA) headquarters in Riyadh, Saudi Arabia.

The second milling company was purchased by a consortium that includes Abdulaziz AlAjlan Sons Co. for Commercial and Real Estate Investments, Sulaiman Abdulaziz AlRajhi International Co., NADEC, and Olam International Limited. The consortium submitted a bid of SAR 2.138 billion ($570 million).

The fourth milling company was purchased by a consortium that includes Allana International, Abdullah Al Othaim Markets, and United Feed Manufacturing Co., which submitted a bid of SAR $859 million.

The award of each milling company was decided based on the highest financial bids submitted by qualified strategic investors, which were thoroughly reviewed to ensure adherence to the terms stipulated in the request for proposal.

The flour milling sector represents one of the targeted sectors for full privatization under Saudi Arabia’s Vision 2030. The privatization of the flour milling sector is supported by specialized regulatory and executive authorities led by the Ministry of Environment, Water and Agriculture, the Ministry of Finance, the NCP, and other related entities.

The sale of the four milling companies to the private sector aims to further strengthen the capabilities of the sector, enhance performance, support diversification of products while maintaining quality.

As a result, this privatization will improve services provided to citizens and yield employment opportunities through increased contribution of the private sector toward a thriving and sustainable economy, NCP said.