Shams extends non-binding MoU to buy 3 hotels in Riyadh, Jeddah, Dammam until Nov. 30

Logo of Tourism Enterprise Co. (Shams)

Tourism Enterprise Co. (Shams) and SHUAA Capital Saudi Arabia agreed to extend their non-binding memorandum of understanding (MoU) to buy three hotels in Riyadh, Jeddah and Dammam for an additional period starting tomorrow, Sept. 30, until Nov. 30, 2022.

The extension comes in order to allow the completion of due diligence and other preparatory work necessary for the implementation of the deal agreements and other final agreements. Shams is currently in the final stages of due diligence.

The company is negotiating with some local banks to finance part of the deal.

In February, Shams signed a non-binding MoU with Shuaa Capital Saudi Arabia for potential 100% acquisition of hotels owned by the hospitality funds managed by SHUAA for SAR 735 million, excluding the real estate tax. The MoU was extended last August to Sept. 30, according to Argaam’s data.