Dallah, AYYAN issue shareholders circulars for Al-Salam-Al Ahsa acquisition deal

Logos of Dallah Healthcare Co. and AYYAN Investment Co. 

Dallah Healthcare Co. issued today, Feb. 20, the shareholders circular related to its capital increase for the purpose of acquiring AYYAN Investment Co.’s ownership in Al-Ahsa Medical Services Co. and Al-Salam Medical Services Co., according to a statement to Tadawul.

Dallah Healthcare said the issuance of the shareholders circular came in implementation of Article 60 of Tadawul’s Rules on the Offer of Securities and Continuing Obligations.

In a separate statement, AYYAN announced issuing the shareholders’ circular related to selling its holdings in the two aforementioned companies to Dallah Healthcare.

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The documents covers all material details, terms and conditions, and all matters related to the transaction, it added.

Shareholders must carefully read and consider all information contained in the shareholders circulars prior to voting.

If still in doubt before the deciding extraordinary general meetings (EGMs), an independent financial advisor licensed by the Capital Market Authority (CMA) should be consulted.

However, shareholders must rely on their own due diligence to ensure the transaction’s feasibility and verify the information provided in the shareholders circulars, based on their investment objectives and financial situation, said the two companies.

Any material developments related to the transaction will be duly announced, they added.

In August 2024, Dallah Healthcare and AYYAN signed a binding acquisition and subscription agreement, under which the former would purchase the latter’s 97.4% and 100% ownership in Al-Ahsa and Al-Salam companies, respectively, data compiled by Argaam  showed.

On Feb. 6, Dallah Healthcare announced the two-month extension of the binding acquisition and subscription agreement with AYYAN.

Both companies will hold their EGMs on March 12 to vote on the planned acquisition deal.

AYYAN’s shareholders will vote on selling their entire stakes in Al-Ahsa and Al-Salam, while Dallah Healthcare’s shareholders will vote on the proposed capital increase from SAR 976.81 million to SAR 1.02 billion through the issuance of 3.89 million ordinary shares in the run-up to the takeover transaction.