Qatar: Expats can trade in Barwa shares after DSM listing

The company's board is scheduled to meet on January 16 and listing is expected a month later.

This was disclosed by Ghanim bin Saad Al Saad, company's chairman, at a press conference here yesterday. Nasser Hassan Al Ansavi, Ali Abdullah Al Abdullah and Ahmed Mohammed Al Sayyid are members.

Al Ghanim said that the company hopes to achieve a net profit of QR160m during the first year of operation. He said that the company would begin its first project in the middle of 2006 at a cost of QR600m.

The company will have a capital of QR2bn, of which 45 per cent is held by Qatari Diar Real Estate Investment Company wholly owned by the State of Qatar's High Supreme Council for Economic Affairs and Investment.

The nominal price per share is QR10, plus an additional subscription charge of QR0.50. Minimum subscription is for 500 shares with maximum being 25,000.

The list of projects to be implemented shortly will play a big role in accelerating the growth of the company, making attractive returns on the capital ranging from 8.03 per cent in the first year to 96.1 per cent in the fifth year.

Barwa is expected to develop properties in and invest in different areas in Doha.

One of the most powerful driving forces behind Barwa Real Estate Company is the vital support extended by the main promoter of the company, Qatari Diar Real Estate Investment Company, which provided the company with four strips of land at prime locations in the commercial and residential center of Doha city as a corporeal property contribution from the founder in the company's capital, at a discounted market value, Al Ghanim said.

All these factors will ensure that the shareholders will have the chance to engage in a profitable investment with a local real estate entity, but with world-class performance. This will also give them a chance to invest in a company that develops real estates in high standard of professionalism through which real economic value is added to all kinds of assets it develops in Qatar in particular, and abroad, using the most advanced international techniques, know-how and technologies, combined with the most traditional and natural environment-friendly standards in the field of construction and modern building.

Qatar National Bank (QNB) has been appointed lead manager for the Initial Public Offering (IPO) of Barwa Real Estates Company, the bank said in a released yesterday.

"It is another milestone for QNB to be selected the Lead Manager for Barwa Real Estate Company. This certainly presents an excellent opportunity for us for participate in the development process of Qatar's economy. At the same time, this step will help expand investment opportunities for all Qataris" said Mazen Mahmoud Al Shakarchi, assist general manager, Investment Department at QNB.

This is the ninth out of ten offering where QNB has been appointed as the Lead Manager for the IPO of a new company since the inception of the Doha Securities Market.