Thimar to set up fund for acquisition of 70% stake in Giad Al Ezz

Thimar Development Holding Co. inked, on Jan. 5, an agreement with Giad Al-Ezz Co. Limited and Rassanah Capital (fund manager and financial advisor) to establish an investment fund, according to a statement to Tadawul.

 

 

The private closed-end equity investment fund seeks to acquire 70% of Giad Al Ezz, which has the usufruct right for investing in the livestock market and the Al Muaissem slaughterhouse in Makkah for a period of 25 years.

 

The fund capital of SAR 100 million will be offered in a private placement, in exchange for issuing 100,000 units at a price of SAR 1,000 each upon establishment.

 

The minimum capital to operate the fund stands at SAR 20 million minimum.

 

The fund’s duration is seven years, extendable for two additional periods of 12 months each.

 

Thimar’s share will be subject to the size of the fund and will not exceed SAR 30 million. It will be financed from the upcoming capital increase.

 

There is no relevant financial impact at present, no related parties are involved in the deal, the statement added.