DOHA: Ghanim Saad Al Saad, Chairman and Managing Director of Barwa, yesterday said the proposed merger with Alaqaria was timely and was not due to global economic circumstances.
"We have a clear vision of the real estate development and we have several projects, especially in the outskirts of Doha, such as in the industrial areas as well as in free and economic zones and have expertise in different areas."
"The merger will serve Qatar's overall economy in terms of supporting the country's Vision 2030. The offer is a comprehensive and successful move and is timely and came in view of Qatar's rapid growth and for the interest of infrastructure building."
Meanwhile, Sheikh Khalid bin Khalifa Al Thani, Chairman of Alaqaria, said the two firms would complement each other when the merger goes through since Alaqaria had an experience in build operate and transfer (BOT) projects.
The proposed transaction will further enhance Barwa's position as a leading regional real estate company with a ombined market capitalisation of approximately QR11.1bn.
Barwa Real Estate Company (Barwa) and Qatar Real Estate Investment Company (Alaqaria) yesterday announced that, following the companies' joint announcement on March 4 of the full terms of their proposed transaction, the formal offer document relating to the offer by Barwa to acquire the share capital of Alaqaria in exchange for shares in Barwa will be made available by this morning The Offer Document will be distributed to the shareholders of Alaqaria.
Barwa and Alaqaria also announced details of their extraordinary general meetings (EGMs) that will give shareholders of both companies the opportunity to vote on the Proposed Transaction. Both the Barwa and Alaqaria EGMs will take place on March 30.
Following the successful completion of the offer, Alaqaria will become a subsidiary of Barwa and those Alaqaria shareholders who validly accept the offer will become shareholders in Barwa.
It is expected that the shares of Alaqaria will be suspended from trading following the closing date of the offer. Qatari Diar Real Estate Investment Company (Qatari Diar), the largest shareholder in both Barwa and Alaqaria, has undertaken to support the Proposed Transaction. Furthermore, Qatari Diar has agreed to maintain a 45 percent equity shareholding in the enlarged Barwa group through a contribution of certain land in the Lusail area. The land which is to be known as the Education and Medical District, covers an area of 645,595 square metres and is approximately 20km north of Doha International Airport.
© The Peninsula 2010
