Tourism Enterprise extends signing a non-binding MoU to ‎acquire 100% of (3) hotels owned by Shuaa ‎

Reference to Tourism Enterprise Company’s announcement on Tadawul website on 27/02/2022 AD that it signed a non-binding memorandum of understanding to acquire 100% of (3) hotels owned by hospitality funds managed by Shuaa Capital Saudi Arabia Company “SHUAA” in Riyadh, Jeddah and Dammam in the Kingdom of Saudi Arabia for an amount 735 million riyals, excluding real estate tax.

And Company’s announcement on Tadawul website on 25/08/2022 AD regarding extend the mentioned non-binding Memorandum of Understanding for an additional period.

Tourism Enterprise Company would like to inform its valued shareholders that, based on the latest understandings between Tourism Enterprise Company and Shuaa Capital Saudi Arabia Company “SHUAA”, the two parties have agreed to extend the mentioned non-binding memorandum of understanding for an additional period starting at the expiry of the original extend on (30/09/2022 AD). It expires on 30 November 2022 AD, 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 and the company is in the final stages of due diligence.

It should be noted that the company started negotiating with some local banks to finance part of the deal,