Taiba Investments: MoU period with Shuaa Capital expired without reaching agreement

Taiba Investments Co. announced on Wednesday that the period of the MOU signed with Shuaa Capital Saudi Arabia for Taiba’s 100% complete buyout of two companies owning Centro Waha Hotel Riyadh and Centro Shaheen Hotel Jeddah expired without the parties reaching to an agreement in this regard.

The company said that pursuant to the announcement of Taiba Investments Company regarding the 90-calendar days’ extension of the MOU signed with Shuaa Capital Saudi Arabia for Taiba’s 100% complete buyout of two companies owning Centro Waha Hotel Riyadh and Centro Shaheen Hotel Jeddah, the extension has expired on 06-12-2021.

Considering the importance of protecting the interests of Taiba and its shareholders Taiba  declared that the due diligence exercises conducted revealed important critical comments requiring their rectification by the owning company of the two hotels prior to the signing of the Sales & Purchase Agreement and which required sufficient time for such rectifications and for submittal of the required warranties which were not provided till the expiry date of the extended MoU period, along with an increase in the purchase price agreed in the MoU by the company owning the hotels.

“Hence, the MoU period expired without the parties reaching to an agreement in this regard. Taiba also reserves all the legal and statutory rights as stipulated in the MoU.” it said.