Riyadh - Sharikat Mubasher: ASMO, the joint venture between Saudi Aramco Development Company and DHL, signed a memorandum of understanding (MoU) with J.P. Morgan to develop working capital and supply chain financing solutions that enhance liquidity, improve access to capital, and strengthen end-to-end supply chain performance
The MoU, signed during the Supply Chain and Logistics Conference, sets the framework for both sides to assess financing structures that support ASMO’s procurement, logistics, and inventory operations, and outlines the guiding principles for potential future agreements and solutions deployment, the company announced in a recent statement.
Under this agreement, J.P. Morgan will provide services with a focus on developing off-balance sheet inventory finance tools that enable ASMO’s customers in the Kingdom to free up critical working capital through innovative structures.
Both entities will work together on addressing a broader range of trade finance options for ASMO’s customers, including payables finance, receivables finance, and other on-balance sheet solutions.
These models will accelerate supplier payments, extend buyer terms, provide flexible funding, and enable faster, digitally connected transactions, ultimately strengthening ASMO’s commitment to building efficient and resilient supply chains.
Saad Al-Hajri, Chief Procurement Officer at ASMO, affirmed that the partnership lays the foundation for solutions that reinforce national objectives, improve liquidity for suppliers, and support the operational scale ASMO is building across key industrial sectors.
In turn, James Fraser, Global Head of Trade and Working Capital at J.P. Morgan, commented: “We are proud to support ASMO by bringing our global expertise in working capital and digital trade solutions to this strategic collaboration.”
Moreover, this partnership supports Vision 2030’s goals by advancing digital financial infrastructure, expanding access to flexible capital, and reinforcing the foundations of industrial growth across the Kingdom.