Red Sea International, listed on the Saudi Stock Exchange, announced a new strategic move to strengthen its project portfolio. Its subsidiary, Primary Electrical Installations Company, signed a significant contract with Arab Hospital Company Limited. Valued at SAR 220 million, the contract aims to execute a package of specialized works for the construction of a new hospital in a prime location in Jeddah.
According to the official statement issued by the company on the Saudi Stock Exchange (Tadawul) website, the technical scope of the contract includes the execution of mechanical, electrical, and plumbing (MEP) works, in addition to screed work, interior partitions, and some necessary civil works. The strategic project is located on the Corniche Road in the Abhur Al-Janoubi district, one of the fastest-growing and most attractive areas in Jeddah, the Bride of the Red Sea.
Project details and technical specifications
The company clarified in its announcement that the contract extends beyond installation to include the supply, testing, and calibration of all mechanical, electrical, and plumbing systems. The project is characterized by its scale, with the hospital building comprising 19 floors plus two basement levels, reflecting the extensive engineering and technical expertise required to complete it to the highest standards.
Economic context and development of the healthcare sector
This project comes at a time when the healthcare sector in Saudi Arabia is witnessing unprecedented development, driven by the goals of Vision 2030, which encourages private sector investment in healthcare infrastructure. The city of Jeddah, specifically the Abhur district, is a hub of urban and investment expansion, and the construction of modern, state-of-the-art hospitals will help meet the growing demand for high-quality medical services for the area's residents and visitors.
This contract also reflects the ability of national companies, such as the subsidiaries of “Red Sea Global”, to compete and win contracts to implement complex projects that require high technical expertise in the fields of electromechanical works, which enhances the company’s position in the specialized contracting and construction market.
Financial impact and timeline
Regarding the timeline and financial impact, Red Sea International indicated that the contract duration is 420 days. The company anticipates that the financial impact of this project will begin to be reflected in its financial statements starting from the first quarter of 2026, promising future cash flows that will support the company's financial position and expansion plans.
