Saudi Car Rental Firm Shary Said to Explore Potential Sale

Shary Rent-A-Car, among Saudi Arabia’s largest car rental and leasing firms, is exploring the sale of a majority stake in the business, according to three people with knowledge of the matter.

The Riyadh-based company is attracting interest from strategic and private equity buyers, the people said, asking not to be identified as the information is private. Shary is considering a sale after shelving plans for an initial public offering on the local Tadawul exchange, the people said.

Shary appointed HSBC Holdings Plc to help arrange the sale process last year, according to the people. Paul Harris, a spokesman for the U.K. bank in Dubai, declined to comment. Representatives for Shary couldn’t be reached for comment.

Merger and acquisition activity in the kingdom, which has dropped more than 80 perent this year, is showing signs of reviving. TPG Capital and Abraaj Group are seeking funding for the potential acquisition of Saudi fast food chain Kudu, Bloomberg News reported June 10.

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