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Element List	Explanation
Introduction	Arabia Star Company announces the signing of a franchise agreement with Tihama Al-Hijaz Trading Company as part of the company’s expansion plans to operate the “Arabica Star” chain in the Western Region.
Date of Announcement of the Award	2025-12-07 Corresponding to 1447-06-16
Contract Subject Matter	Granting a commercial franchise to operate Arabica Star brand stores within the Western Region (Jeddah – Taif – Makkah), with a commitment to operating the franchise units in accordance with the business model and operational identity approved by Arabia Star Company. The signing of this agreement aligns with the company’s strategy and supports its expansion plans to strengthen its market position by opening new horizons across the Kingdom and keeping pace with the rapid growth in the café sector.
The Entity with Which the Contract was Signed	Tihama Al-Hijaz Trading Company.
Date of Signing the Contract	2025-12-03 Corresponding to 1447-06-12
Contract Value	The actual value of the contract cannot be accurately measured at this stage, as franchise fees and periodic payments are subject to the terms and conditions agreed upon between the parties.
Contract Details	The agreement includes: • Granting the franchise rights to operate Arabica Star units within the Western Region. • Full compliance with franchise regulations, operational processes, training, and technical standards. • Expected opening dates by the franchisee as follows: o Taif – Jeddah: 01/01/2026 o Taif – Makkah: 01/01/2027 • Number of units: 10 franchise units.
Contract Duration	Five (5) years.
Financial Impact and the Relevant Period	The financial impact of the agreement is expected to appear in the company’s financial results starting from the second quarter of 2026, in line with the commencement of operations at the mentioned branches.
Related Parties	None

Arabica Star Co. Announces Contract Sign Off with Tihama Al-Hijaz Trading Company.