RedCloud Holdings (RCT) jumped over 90% on Monday after announcing a five‑year licensing agreement worth up to $30 million to deploy its RAID (Realtime AI for Distribution) engine in the Kingdom of Saudi Arabia. The deal gives RedCloud a key entry point into one of the world’s largest and most complex FMCG markets at a time when global supply chains are under pressure.
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Importantly, this is the company’s second major licensing deal, following its $50 million joint venture in Turkiye announced in December 2025.
With the new Saudi agreement, RedCloud’s contracted JV infrastructure revenue now totals $80 million, strengthening its capital-light strategy for global expansion through regional partnerships.
RedCloud Targets $9.4B Inventory Imbalance with RAID Rollout
The latest agreement is structured at $6 million per year, based on revenue generated by RAID in Saudi Arabia. RedCloud will use the partnership to expand its AI‑driven infrastructure across the country’s $68 billion FMCG market, where outdated distribution systems and limited real-time visibility continue to disrupt demand and inventory.
RedCloud estimates these inefficiencies have created a $9.4 billion inventory imbalance across the Kingdom as businesses lack the tools to act on data quickly and at scale.
The deal will help RedCloud advance its joint‑venture strategy in the region by combining local market infrastructure with RAID’s AI‑powered intelligence layer. The goal is to enable real‑time, data‑led decision‑making across supply chains, improving how goods are bought, distributed, and sold.
Majid Alghaslan, RedCloud’s joint‑venture partner in Saudi Arabia, said the platform will give retailers better access to supply, while manufacturers and distributors gain the intelligence needed to scale. He called the system “foundational infrastructure for the future of trade in Saudi Arabia.”
Is RCT a Good Buy?
Overall, Wall Street has a Strong Buy consensus rating on RedCloud stock based on three Buy recommendations. The average RCT stock price target of $5.83 indicates 483.33% upside potential.
