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Logo of General Authority for Competition
The General Authority for Competition (GAC) issued today, Aug. 30, a no objection certificate for acquiring a 51% stake in Saudi Rotorcraft Support Co. by SAMI Aerospace.
Upon completion of the acquisition deal, Boeing will retain its 49% stake in Saudi Rotorcraft Support, the authority said in a statement.
The competition authority recognized the commodity aspect of the deal in the market of rotorcraft (helicopters) servicing, maintenance and renovation. It studied the geographical scope of the deal in the global market to decide whether the transaction may impact competition.
GAC's study concluded that the transaction will unlikely impact competition in the Kingdom, as the parties hold small market shares. The transaction will not lead to an increase in the market share, given that the acquired facility is not active in the local market. Therefore, the acquisition will not lead to any market dominance.
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