TADCO pens MoU for high-tech greenhouse collaboration

Logo of Tabuk Agricultural Development Co. (TADCO)

Tabuk Agricultural Development Co. signed a non-binding memorandum of understanding (MoU), on April 18, with Saudi Greenhouses Management and Agri Marketing Co. to build high-tech greenhouses that suit the Kingdom’s climatic environment.

In a statement to Tadawul, the company said that the MoU also targets cooperation in managing greenhouses, developing the marketing system, conducting research on high-value varieties to be cultivated in the Kingdom and maximizing the benefit of products through manufacturing industries.

The MoU will be effective from the date of signing for a period of one year and will only be renewed by mutual written agreement. It will expire at the end of its term or when a binding agreement is signed between the two parties, the statement added.

TADCO further explained that the major terms of the MoU include studying, designing, and constructing greenhouses that take into account the comparative advantage of the Tabuk region, conducting market research and study for different products, working on developing a marketing plan for the products, providing recommendations and consultations from both parties and adding any other areas that the two parties deem necessary in the future.

The conclusion of the final agreement is subject to both parties completing the financial and legal due diligence process.

The MoU will not result in any financial impact and there are no related parties involved in the deal, the statement added.