Anaam Holding signs agreement worth SR312 mln for acquiring Private Office buildings in Jeddah

With reference to Anaam International Holding Group’s announcement on Tadawul website on 16/02/2022 that it had signed a non-binding memorandum of understanding with the owners of private office buildings located in Jeddah, Al-Rawda District, Prince Sultan Street, regarding the possible acquisition of 100% of the private office building. Anaam International Holding Group Company announces the signing of a (binding) sale and purchase agreement regarding the acquisition of 100% of the private office buildings for SR 312 million.

The purchase of the property with its buildings and all its facilities, parts, services and assets, located in the Khalidiyah neighborhood, Prince Sultan Street (the most vital location in Jeddah), between Tahlia Street and Al-Rawda, opposite the city of Saudi Airlines, surrounded by four main streets.

It is an administrative building in the city of Jeddah on Prince Sultan Street surrounded by four streets consisting of a basement, a ground floor, a mezzanine, and seven repeated floors, which are rented office units and other services such as a restaurant, a cafe, a pharmacy and a bank.

Transaction Terms:

1/ The amount will be paid as follows:

– A bank check in the name of the National Bank of Saudi Arabia from the buyer to the seller in the amount of 44,156,158 riyals issued from Alinma Bank in payment for the above of the contract amount provided by the National Bank of Saudi Arabia to the seller In exchange for foreclosure.

– A bank check for the remainder of the purchase price to the seller for a total amount of 268,550,275 riyals, delivered to the seller on the date of transferring the ownership of the property to the buyer at the competent documentation authority.

2/ The agreement is subject to a number of conditions, including, but not limited to, obtaining the approval of government agencies competent authorities and terminate some legal procedures.

The company added that the transaction funding method will be self-financed by Anaam Group, amounting to SR 159,480,281, in addition to the credit facilities granted to the group by Alinma Bank, amounting to SR 153,226153.

The reason behind this deal is enhancing the company’s investments by purchasing income-generating assets. This acquisition aims to diversify the business of Anaam Holding Group in addition to working to take advantage of the opportunities in the real estate sector, which is of great importance to developing the local economy, diversifying sources of income, and increasing the country’s gross domestic product

The financial impact on the company’s revenues will be reflected in the third quarter of 2022 AD.