Saudi Arabia's Arabian Contracting Services Co. will fully acquire Faden Media, an outdoor advertising company, for 1.05 billion Saudi riyals ($280 million) as part of its expansion strategy.

Faden Media, which is owned by Prince Abdulaziz Al Saud, has a capital of SAR 25 million and posted a net income of SAR11.1 million in Q1-2022, Arabian Contracting said in a regulatory disclosure on Wednesday on Tadawul where its shares trade.

Arabian Contracting will pay 70% of the transaction value upon completion of the agreement and the remaining 30% will be paid on March 31, 2023.

The deal, which requires various regulatory approvals, will be financed by bank loans in addition to the company's own resources.

(Reporting by Brinda Darasha; editing by Seban Scaria)