Tihama's subsidiary sells stake in Qutrob Media for SAR 1.2 mln

Logo of Tihama Advertising and Public Relations Co.

Tihama Advertising and Public Relations Co.'s subsidiary Integrated Production Co. for Audiovisual Media Production sold its entire 50% stake in associate Qutrob Media Production Co. for almost SAR 1.20 million, the company said in a statement to Tadawul.

Integrated Production’s gain from the disposal of the associate is roughly SAR 1.06 million, as the asset’s book value reached SAR 68,040 as of March 31, 2023. The deal proceeds be used to carry out the general objectives of the subsidiary.

The transaction’s alue will be paid in four installments, the first of which is due and payable upon signing the agreement, amounting to SAR 119,500.

The second installment, worth SAR 358,500, is due and payable on Oct. 10, 2023. The third and fourth installments are valued at SAR 358,500 each, to be paid on April 10, 2024, and Dec. 10, 2024, respectively.

Shares will be transferred after receiving the first payment upon signing the agreement and receiving promissory notes against the remaining payments. The transaction does not include any related parties, Tihama added.

Tihama also noted that the transaction comes as part of the process of restructuring the group companies and exiting from loss-making business sectors.

Qutrob Media Production was sold to Osama Mansour El Kheraji.