Seera Group Holding’s car rental and leasing unit, Lumi Rental Company (Lumi), has announced the signing of a leasing agreement with Saudi Post | SPL, to supply a fleet of 855 vehicles including 795 commercial vans, 40 SUVs, and 20 sedans. The total value of the agreement is $11.2 million.
The agreement further expands Lumi’s substantial footprint in the Kingdom of Saudi Arabia’s rapidly growing vehicle leasing market, and consolidates its position as the vehicle provider of choice to some of the most important government agencies.
The term of the agreement is effective from May 2023 for 34 months with the option to renew on mutual consent of both parties.
Lumi is a fast-growing market leader in the car rental and leasing sector with a unique full-service business model backed by state-of-the-art digital channels.
Commenting on the signing of the agreement, Mr. Syed Azfar Shakeel, CEO of Lumi, said: “We are delighted to announce this landmark agreement, adding to our strong portfolio of existing leasing contracts with prominent government entities.
Insight: Which Country Will be M.E. Logistics King?
"Our partnership with Saudi Post | SPL paves the way for Lumi to further enhance its market share in the local vehicle leasing sector, a more than SAR 1.8 billion market that continues to grow.
"Our own growth in the segment has been aggressive, at a revenue CAGR of more than 50% since we commenced Leasing operations in 2019, and we intend to capitalise on this momentum."
Eng. Ahmed Aljarad, Chief Human Capital & Shared Service Officer at Saudi Post | SPL, said: “We are thrilled to announce our partnership with Lumi, a regional leader in car rentals and leasing. This stands as a significant milestone in our ongoing efforts to expand and optimize our logistics services.
"We are confident that this collaboration will bring numerous benefits to our customers and stakeholders, and at the heart of this partnership is our shared commitment to delivering convenience and superior customer service.
"We are excited about the growth opportunities that lie ahead, and we look forward to a fruitful collaboration with Lumi. The synergy of our combined expertise and resources will empower us to provide even more value to our customers.
"This strategic partnership represents a significant step towards realizing our goals as national logistics champion.”
Read More: Mawani and Saudi Post Sign Deal to Deliver Express Mail Service