Al Arabia Secures $142M Advertising Contract with Dubai’s RTA

The UAE subsidiary of the Saudi-listed Arabian Contracting Services Company, (Al Arabia), has signed a significant advertising billboard contract with Dubai’s Roads and Transport Authority (RTA). The deal, valued at 522.84 million UAE dirhams ($142.35 million), was facilitated by Nicolas Mourad, Group In-House Legal Consultant at Arabian Construction Company, and Faisal Alkhanbashi, the Legal Department manager, along with Shehab Bu Shehab (pictured), Director of the Legal Affairs Department for Dubai RTA.

Under the terms of the contract, Al Arabia OOH Digital Company will install, operate, and maintain 294 advertising billboards across key Dubai locations, including Sheikh Rashid Al Maktoum Road, Al Khail Road, Umm Suqeim Road, and Al Khawaneej Street. The billboards comprise 85 digital and 209 static ones, varying in types and sizes.

The contract, announced in a statement to the Saudi stock exchange on Wednesday, spans a duration of 10 years and five months. It includes a preparation period of up to 31 days for the static billboards and 182 days for the digital billboards.

The business model of the contract encompasses quarterly lease payments, providing a steady revenue stream for Al Arabia over the contract’s duration. This deal marks a significant milestone for Al Arabia in expanding its advertising footprint in the UAE.