Riyadh – Mubasher: Fawaz Abdulaziz Alhokair Company (Cenomi Retail) has concluded a number of strategic transactions to boost its growth and transformation journey in Saudi Arabia, according to a press release.
Cenomi Retail selected 26 non-strategic brands to be added to its portfolio as a part of the board’s sale programme, which brings promising trademarks to the Kingdom in order to meet consumer needs and foster the retail industry.
In this regard, the Saudi company appointed advisors to lead the divestment process.
The brands allocated for disposal are forecast to generate revenues and profits worth nearly SAR 288 million and around SAR 25 million, respectively. The financial impact will reflect on the company's income statements once the divestment programme is completed.
In line with its objective to drive focus on its food and beverage (F&B) business, Cenomi Retail sold the non-strategic Azal restaurant chain and Shawarma Almuhalhl for a combined value of SAR 25 million.
Meanwhile, the company acquired 30 Subway stores in Saudi Arabia, which added directly operated stores to its sub-franchisor store footprint.
The F&B sector will also be anchored by 17 additional Subway locations that will be inaugurated during 2023, besides the opening of 15 Cinnabon branches.
Mohamad Mourad, Interim CEO of Cenomi Retail, said: “We will continue to identify and work with brands that align with our strategic goals, represent a diversified mix of sectors and support the country’s own ongoing transformation.”
In December 2022, the firm changed its trading name on the Saudi Exchange (Tadawul) from Alhokair to Cenomi Retail after unveiling a new full rebrand to Cenomi, along with Arabian Centres Company and Fawaz Alhokair Fashion Retail Company.
During the first half (H1) of fiscal year (FY) 2022/2023, Cenomi Retail reported net profits after Zakat and tax worth SAR 81 million, an annual surge of 21.62% from SAR 66.60 million.
