Al Akaria sells entire stake in Al Akaria Hanmi for SAR 1.2 mln

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Saudi Real Estate Co. (Al Akaria) sold its entire 60% stake in Al Akaria Hanmi (Edarah) For Project Management to Hanmi Global Saudi for SAR 1.2 million.

The company clarified that Al Akaria Hanmi is a real estate project management company, with a book value of SAR 14.05 million.

In 2018, Al Akaria Hanmi’s gross assets stood at SAR 16.96 million, but declined to SAR 9 million in 2019 and SAR 8.70 million in 2020.

Al Akaria Hanmi’s total liabilities stood at SAR 10.29 million in 2018, SAR 8.36 million in 2019, and SAR 12.73 million in 2020.

The firm reported net income of SAR 3.22 million in 2018, and a loss of SAR 6.03 million and SAR 4.66 million in 2019 and 2020, respectively.

Al Akaria indicated that the deal completion requires the Ministry of Investment’s approval to amend the license to reflect the stake’s sale in favor of the purchaser. It also requires the Ministry of Commerce’s permission to amend the company’s incorporation contract to reflect the stake sale to the purchaser and the purchaser’s ownership according to the stake sold.

In addition, the developer needs the approval of government authorities and the amendment to the shares register.

The deal is as per Al Akaria’s future strategy, the statement said, stressing that the proceeds will be used to finance other projects (activities).

There are no related parties, the statement noted.

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