Saudi Arabia’s Molan Steel Co. said it has received a preliminary judgment from the Commercial Court in Riyadh in a case filed by Yara International Ltd., ordering the company to pay SAR 17.88 mln (USD 4.76 mln). Other claims, including SAR 2 mln (USD 0.5 mln) sought in attorney fees, were dismissed.
The ruling, issued on 15 September 2025, is subject to appeal within 30 days, and Molan confirmed it will file an appeal within the statutory period. The company noted that the awarded amount had already been recorded in its 2024 financial statements, meaning no additional costs will arise.
According to the court’s reasoning, Yara’s claim for attorney fee compensation was dismissed as Molan’s refusal to pay was linked to a fundamental contractual error, which the court deemed sufficient to establish the company’s position.
The case relates to Molan’s December 2024 acquisition of Mayar International for SAR 34.88 mln (USD 9.3 mln). In July, Yara filed the lawsuit, seeking SAR 17.88 mln in alleged outstanding payments tied to the sale, along with SAR 2 mln in damages, later rejected in court.
Molan Steel is a key supplier of steel products for the construction and fabrication sectors across the Middle East.
1 USD / 3.75 SAR
