DOHA: Barwa has begun initial engineering studies of Salwa Bay Resort which will be located in the South West of Qatar, the company said at the Ordinary General Assembly of its shareholders yesterday.
The company expects to deliver and operate soon three major projects, including Barwa Village, Barwa Housing (Masaken & Saliyah) and the 1st phase of Barwa Al Sadd, projects which are expected to contribute significantly to any future increase in the company's earnings.
The Board of Directors of Barwa Real Estate Co. (Q S C) held the Company's Ordinary and Extraordinary General Assembly Meeting yesterday to discuss, among other matters, the company's performance throughout the year and the proposed acquisition of Qatar Real Estate Investment Co. (Q S C) (Alaqaria). Barwa Chairman and Managing Director, Ghanim Bin Saad Al Saad and Vice Chairman, Hitmi Ali Khalifa Al Hitmi, as well as board members, Ali Mohammed Al Obaidli and Essa Ali Al Mohannadi attended the meeting. The assembly reviewed and approved the Board of Directors' Report on the activities of the Company and its financial position for the financial year ended December 31, 2009 in addition to hearing the company's future plans for 2010.
Net profit up
The company reported a significant increase in net profit for 2009 attributed to increase in total earnings which amounted to QR3.013bn in 2009, showing a 173 percent rise compared to QR1.102bn total earnings in 2008. Profits realised through re-appraisal of Barwa properties were a main driver behind the increase in earnings, said the company.
In addition, returns related to rents and services provided by subsidiaries and affiliates as well as the acquisition of the First Investor by Barwa Bank made a robust contribution to Barwa's net profits. The First Investor's financials have been incorporated in the consolidated financials of Barwa. Throughout 2009, Barwa continued to achieve its strategic objectives and develop its projects. This led to an increase in the total assets of the company from QR24bn in 2008 to QR35bn in 2009. The assembly also reviewed and approved the Shariah Supervisory Board's report and was informed that proceedings from investments and sold properties, Shariah-compliant finance schemes and profits retained from previous years have largely contributed to the robust financial increases.
The shareholders' equity rose to QR5.23bn in 2009 compared to QR4.44bn in 2008. Besides, the company's shareholders approved the Board of Directors proposal to distribute QR2 per share dividend. The assembly decided to absolve the directors of any liability for the financial year ending December 31, 2009 and approved their remuneration for the year 2010.
Following the Ordinary General Meeting, the Extraordinary General Assembly Meeting was held where the shareholders considered and approved the acquisition by Barwa of Alaqaria and of land in Lusail from Qatari Diar Real Estate Investment Company. The assembly of the company's shareholders approved an amendment to the Articles of Association of Barwa to facilitate the Transaction by including a new Article (22) (a), the valuation of DTZ of the land to be acquired from Qatari Diar, the authorisation of the Board of Directors to take all steps necessary to give effect to the matters referred to in the new Article 22 (a) of Barwa's Articles of Association and the amendment of Article 6 of Barwa's Articles of Association to reflect any increases of share capital undertaken pursuant to the new Article 22 (a) of Barwa's Articles of Association.
© The Peninsula 2010
