National Gas and Industrialization Holding Co. (GASCO) has announced the signing of an equity interest purchase agreement to acquire a 50% stake in JACKO Gases, a limited liability company active in the production, packaging, and distribution of industrial and medical gases across Saudi Arabia. The deal values JACKO at SAR 125 million on a pre-acquisition basis, following the completion of independent valuation procedures and full due diligence conducted through GASCO’s financial and legal advisors.
A Calculated Expansion Into High-Growth Adjacent Markets
The agreement, signed on March 16, involves GASCO injecting SAR 125 million directly into JACKO following a 100% capital increase, with the full investment intended to fund expansion plans, support business growth, and reinforce JACKO’s operational position in the market. The transaction was executed with Mohammed Al-Otaibi as the seller and will be financed entirely from GASCO’s own resources and available cash balances, reflecting confidence in the company’s financial position without recourse to external debt.
JACKO’s revenue trajectory tells the story of a company that has found strong footing in a growing market. Revenues climbed from SAR 23.3 million in 2022 to an unaudited SAR 66 million in 2025, representing a near-threefold increase over four years. Beyond gas production and packaging, JACKO operates a logistics infrastructure that supports the distribution of its products, making it a vertically integrated player in its segment.
Diversifying Beyond Regulated LPG Operations
For GASCO, the transaction represents a deliberate move to diversify its investment portfolio into sectors adjacent to its core liquefied petroleum gas business, which operates under regulatory pricing frameworks that constrain margin flexibility. Industrial and medical gases operate in a less regulated environment, offering stronger commercial dynamics and natural alignment with the expanding healthcare and manufacturing sectors that Vision 2030 is actively building across the Kingdom.
GASCO noted that the deal aligns with its broader strategy to support economic growth, diversify into unregulated business lines, and enhance sustainability across its operations. The company has also clarified that there are no related parties to the transaction, underscoring the arm’s length nature of the deal.
Regulatory Approvals Required Before Completion
The transaction remains conditional on receiving approval from Saudi Arabia’s General Authority for Competition, as well as any other required regulatory consents. GASCO confirmed that the signing of the purchase agreement does not constitute a completed acquisition, and that it will announce any material developments as they arise in line with its continuous disclosure obligations on the Saudi Exchange. Once all conditions are satisfied, JACKO’s financials will be consolidated into GASCO’s statements from the transaction completion date, in accordance with applicable accounting standards.
