Al Mazaya Holding Co (K.S.C) a leading property firm in the region, signed a contribution contract with “Oman Construction” to share in a real estate investment portfolio in Oman with a capital of OMR 3.1 million. Al Mazaya’s share is 40% while 12% is for Oman Construction and 12% for “Mina” real estate company. The remainder of the percentage is submitted for IPO from a chosen group of investors and real estate companies.
A subsidiary of Al Mazaya Holding Co. in UAE has signed a sale agreement of one of its Real Estate properties in Dubai.
With reference to the above subject and to paragraph (22) of article 4-1-1 of chapter 4 of book 10 of the executive regulation of law No.7 of 2010 regarding the establishment of the Capital Markets Authority and regulating securities’ activities, kindly find attached disclosure of material information form.
| Date: | 2020/05/10 |
| Name of listed company | Al Mazaya Holding Co. K.S.C. P |
| Material information | A subsidiary to Al Mazaya Holding Company in the UAE had signed a sale agreement of one of its real estate properties in Dubai, where the sale value shall be settled in cash and in-kind. The cash portion amounts to AED 40 Million (equivalent to KD 3.4 Million approximately), while the remaining in-kind portion will be settled by transferring other income generating real estate units from the buyer which will be recognized at its fair value in accordance with International Financial Reporting Standards (IFRS) which amounts to approximately AED 37 Million (equivalent to KD 3.1 Million approximately), and hence, the total sale value to be recognized upon completion of all related sale procedures shall amount to approximately AED 77 Million (equivalent to KD 6.5 Million approximately). |
| Effect of the material information on the company financial position | This transaction will result in an approximate loss of AED 770 Thousands (equivalent to KD 65 Thousands approximately), which shall be recognized in the Company’s consolidated financial statements in the period when cash portion of sale transaction is received and all the related procedures of transferring ownerships of all real estate properties are completed and the final real estate valuation report for the acquired units is issued, where this time remains uncertain due to the current exceptional circumstances across the whole region due to the outbreak of COVID 19 and its related precautionary measures which impacted the operations of all governmental and private sectors. |
