Raya Al-Tajdeed Contracting Company wins SAR 100 million construction contract in Riyadh

Raya Al-Tajdeed Contracting Company, a 35%-owned affiliate of Saudi Arabian Refineries Company, has signed a 24-month construction contract valued at estimated SAR 100 million with Multinational Education Company to execute construction and finishing works in Riyadh.

Raya Al-Tajdeed Contracting Company has officially secured a major construction contract valued at an estimated SAR 100 million with Multinational Education Company to carry out specialized construction and finishing works in the city of Riyadh, Saudi Arabia. Under the terms of the agreement, the project duration spans 24 months, with financial impacts anticipated to begin reflecting in the fourth quarter of 2026. The agreement highlights an ongoing momentum in local infrastructure and educational facility development across the Kingdom.

Raya Al-Tajdeed Contracting Company is a Saudi Arabia-based construction contractor specializing in building, engineering, and finishing works, operating as a 35%-owned affiliate of Saudi Arabian Refineries Company (SARCO). Multinational Education Company is an educational operator and facility developer headquartered in Saudi Arabia, owned by Ithraa Holding Company, providing comprehensive academic infrastructure and institutional facilities.

This contract highlights significant governance and strategic alignment within the participating entities, as the project constitutes a Related Party Transaction under Saudi regulatory frameworks. The Managing Director of SARCO, Eng. Mohammed Iqbal Daboul, serves as an Executive Board Member of Ithraa Holding Company, which is the ultimate parent company of Multinational Education Company and holds a 35% stake in Raya Al-Tajdeed Contracting Company. Such strategic cross-holdings reinforce collaborative synergies across real estate development, contracting, and educational investment vectors within the domestic market.

From an industry perspective, the agreement reflects sustained capital investment in Saudi Arabia's educational infrastructure segment, driven by broader national economic transformation initiatives and expanding urban populations in Riyadh. Capital expenditure targeted at modern, high-quality educational facilities remains a critical priority for public and private stakeholders seeking to enhance institutional capacity and urban livability.

For investors and business executives, the award provides key visibility into future revenue streams for Raya Al-Tajdeed Contracting Company and its equity partner, SARCO. Contracting partnerships tied to established holding groups provide resilient backlog growth and strategic stability in execution. As construction activity in Riyadh intensifies ahead of long-term development targets, integrated contracting models and corporate real estate expansion projects are poised to deliver consistent operational value.