Saudi Company For Hardware (SACO) (4080.SE) will close its current store in Khobar on 1 May 2016, and is working on relocating to a new location in the same city. The decision was due to difficulties renewing its rental contract and licence, as SACO is dealing with an on-going lawsuit with the Khobar store owner, as previously mentioned in the prospectus. The store closure will have a minimal negative financial impact starting 2Q2016 given that the Khobar store (3,668 sqm) is less than 3% of SACO’s total retail space (135,355 sqm) and revenue/earnings contribution is not significant. SACO is close to signing a contract for a replacement location in Khobar that covers a total area of 6,000 sqm and remains committed to moving forward with all of its expansion plans. (Company disclosure)