Simah Rating Agency assigns initial unsolicited national scale entity ratings to Mayar Holding Company
The unsolicited ratings, indicated by a 'pi' subscript, utilize analytical procedures that are parallel to traditional credit ratings, but differ in that they are based on public disclosures made available by companies, as well as other secondary sources. The 'pi' ratings do not carry an outlook. The 'pi' ratings are reviewed annually based on the latest financial statements, but may be reviewed earlier if a major event that could affect an entity's credit quality. The rated entity has not participated in the unsolicited credit rating, and the rating has not been disclosed to the rated entity prior to the announcement.
Rating Rationale: The assigned ratings incorporate Mayar's long operating track record of over two decades. Ratings also reflect good business fundamentals of elevators and escalators sector, which supports demand for the company's services, along with revenue diversification across segments and geographies. The company's presence in uncorrelated industries can help stabilize revenues during different economic cycles and market conditions. However, the ratings are constrained by a very weak financial profile, characterized by a low equity base, volatile and low margins, elevated leverage indicators, and very weak cash flow coverages. Additionally, there is a significant mismatch on the balance sheet, indicating a low capacity to meet obligations from internal cash flows.
The elevators and escalators industry in Saudi Arabia is expected to witness double digit growth from 2023 to2029. The key growth drivers of the sector comprise Vision 2030 initiatives (such as smart cities and economic zones), urbanization and population growth, as well as tourism and healthcare projects under Vision 2030. Going forward, Mayar is pursuing aggressive expansion through acquisitions, strategic partnerships, and large-scale contracts in food, agriculture, irrigation, and elevator solutions, thereby strengthening its market presence across multiple sectors.
Rating Triggers: A sizeable equity injection that reduces current leverage indicators and improve cash flow generation, resulting in enhanced debt servicing capacity, is critical for an upgrade in ratings.
About the Company: Mayar Holding Company is a Saudi joint stock company with CR#1010398836 dated 23 December 2013. The Company is engaged in management of subsidiaries of holding companies, provision of financing for subsidiaries of holding companies and owning and leasing industrial property rights to subsidiaries of holding companies.
For further information on this rating announcement, please contact Mr. Talha Iqbal, email at RS@Tassnief.com.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Tahawul Tech
an hour ago
- Tahawul Tech
Quantum-safe networks are cornerstone of tomorrow's digital infrastructure
In a world where nearly every aspect of our lives is connected, encryption is what keeps our digital systems trustworthy. It protects everything from financial transactions to national intelligence. But that protection won't hold forever. Quantum computing, once the stuff of science fiction, is edging closer to practical reality. With it comes a new set of challenges to how we keep information secure. Here in the Gulf, where digital transformation is accelerating at breakneck speeds, the stakes are rising. Initiatives like the UAE's Digital Government Strategy and Saudi Arabia's Vision 2030 have led to an explosion of digital services, cloud platforms, and cross-border data flows. But with this growth comes a stark reality: adversaries are already harvesting encrypted data today, waiting for quantum computers to break the cryptographic algorithms we rely on. Rethinking network security for the quantum age Quantum-safe networks (QSNs) are emerging as a vital part of the solution. These systems combine post-quantum cryptography (typically at application layer) with techniques like symmetric key infrastructure and / or quantum key distribution (at IP and Optical level) to build layered security frameworks across infrastructure. The goal isn't just to defend against future risks but to harden networks now, add risk mitigations measures with long term security, especially as cyberattack sophistication and frequency increase. This shift is already underway. In Europe, a live trial between Proximus and Nokia demonstrated how quantum encryption can be layered into live networks. In Asia, similar pilots with SK Broadband and Korea Hydro & Nuclear Power have proven scalability. And closer to home, operators in the GCC are laying the groundwork for similar capabilities, driven by the region's urgent push toward digital sovereignty. This is happening against the backdrop of a booming data center market. The GCC's data center sector is projected to more than double in size by 2030, growing from $3.48 billion in 2024 to over $9.4 billion. As demand for AI applications, cloud infrastructure, and sovereign hosting grows, securing these environments from emerging threats becomes mission critical. Making the shift: what it really takes Getting quantum-ready is not an overnight process. It begins with mapping what you already have. Surprisingly, a large share of organisations still lack complete visibility into their cryptographic assets, a gap that becomes riskier as quantum threats move from theoretical to practical. Alongside conducting audits, organizations can begin implementing Quantum-Safe Cryptography (QSC), particularly at the network layer—IP and optical—where deployment is significantly faster than at the application level. This approach enables immediate risk mitigation by securing critical infrastructure early, while teams are trained to adopt crypto-agile and resilient processes and prepare for broader integration.. This transition also needs to be seamless. With the help of zero-touch encryption, automated policy management, and advanced orchestration platforms, it is possible to strengthen security without compromising performance or uptime. These tools are especially valuable in the Gulf's smart infrastructure environments, where service continuity is non-negotiable. Scaling security for the region's digital ambitions Telecom operators, hyperscalers, and data centre providers across the Middle East are already feeling the pressure to enhance their security posture. The GCC cybersecurity market is projected to skyrocket, from $4.8 billion in 2024 to nearly $15 billion by 2031. That growth isn't just driven by threat vectors. It's a direct response to the expanding digital landscape and the geopolitical importance of regional infrastructure. Modern chipsets now support encryption at speeds of 800G and deliver up to 75% energy savings over previous generations. In the Gulf's hot and high-demand environments, that's a significant advantage. At the same time, architecture must accommodate encryption across long-haul optical networks and sovereign cloud environments without adding latency. These are the very requirements regional carriers are tackling now, often in collaboration with international partners and standards bodies. A strategic opportunity to lead This isn't just a defensive play. It is a chance to lead. The global market for quantum-safe technologies is expected to grow rapidly in the years ahead. And countries like the UAE, Saudi Arabia, and Qatar are already investing in quantum computing R&D and advanced AI ecosystems, signaling their intent to be at the forefront of this wave. The GCC's focus on cyber resilience is also accelerating. National cybersecurity agencies, such as the UAE Cyber Security Council, are actively collaborating with private and international entities to address vulnerabilities and raise the region's security posture. A 2025 report highlighted over 223,000 vulnerable assets in the UAE alone, with many remaining exposed for years, making quantum resilience a non-negotiable pillar of future planning. Operators in the region have a unique chance to go a step further by offering quantum-safe infrastructure as a service. In doing so, they won't just be securing their own networks, they will be enabling banks, hospitals, utility providers, and governments to do the same. Resilience isn't optional, its foundational Quantum computing is no longer an abstract concept. While it promises breakthroughs in everything from medicine to logistics, it also threatens the cryptographic systems our societies rely on. In regions like the GCC, where digital growth is central to economic strategy, the consequences of inaction could be severe. By embedding quantum-safe technologies into the core of their networks, Gulf organizations can secure their most valuable data, protect their national priorities, and lay the foundation for trusted digital ecosystems. In the quantum age, it's not just about reacting to what's coming. It's about shaping it. Because when trust, privacy, and security are on the line, resilience isn't a luxury. It's the cornerstone of progress. This Op-ed is authored by Carlo Corti, Head of Optical Networks, Nokia Middle East and Africa
Channel Post MEA
4 hours ago
- Channel Post MEA
SAP's AI Copilot Joule Deployed At Red Sea Global
SAP and Saudi real estate developer Red Sea Global (RSG) have marked a new phase in their strategic partnership with the successful deployment of SAP's AI-powered copilot, Joule, across human capital management functions. The rollout represents a significant step in RSG's growth and digital enhancement, following several years of collaboration with SAP across core business operations. The developer was the first organisation in the Middle East and Africa – North region to roll out Joule, launching the initial phase across the HR functions of its core business units and several subsidiaries. A full-scale deployment across all subsidiaries will follow and will ultimately benefit around 10,500 employees. The current use cases focus on three high-impact areas: job description creation, candidate screening and performance management. Joule is embedded within SAP SuccessFactors and enables HR professionals to complete complex tasks through natural language prompts, helping them automate routine processes, improve consistency and make faster decisions. Red Sea Global plans to extend Joule's capabilities into other SAP systems, including ERP and digital spend/procurement, as part of its strategy to enhance productivity and operational insight across the enterprise. By deploying Joule more broadly and harnessing Business AI, the group aims to run faster, work smarter and operate more efficiently at scale. Sultan Moraished, Group Head of Technology & Corporate Excellence at Red Sea Global, added: 'We are proud to be the first organisation in the region to implement SAP Joule for HR. Implementing Joule AI has empowered our HR teams to focus on strategic initiatives by streamlining repetitive tasks. This technology is a game-changer for fostering talent development and aligning our workforce with the ambitious goals of Vision 2030.' Mohammed Alromaizan, Vice President, SAP KSA, added: 'Red Sea Global is leading by example in applying Business AI to real-world operations. The successful deployment of Joule in HR shows how AI can enhance efficiency, empower teams, and support strategic goals. We're proud to support RSG on their journey to drive innovation and deliver on Vision 2030'. RSG has worked with SAP since 2021 as part of a broader technology transformation aligned with Saudi Arabia's Vision 2030. Its digital ecosystem includes SAP SuccessFactors, SAP Ariba, SAP Supply Chain Management, SAP BTP and SAP S/4HANA Cloud, forming a cloud-first foundation to support sustainable development, operational excellence and long-term growth.
Zawya
6 hours ago
- Zawya
Saudi Arabia's real GDP grows by 3.9% in Q2
RIYADH - Saudi Arabia's real Gross Domestic Product (GDP) grew by 3.9 percent in the second quarter of 2025 compared to the same period in 2024. According to the Saudi Press Agency (SPA), flash estimates of GDP for Q2 2025, released today by the General Authority for Statistics in Saudi Arabia, showed that non-oil activities recorded the highest growth at 4.7 percent, followed by oil activities at 3.8 percent and government activities at 0.6 percent. Seasonally adjusted real GDP rose by 2.1 percent in Q2 compared to Q1, with oil activities leading the growth at 5.6 percent, non-oil activities increasing by 1.6 percent, while government activities declined by 0.8 percent.
