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Saudi Telecom Company (STC) has sold a piece of land located in Khobar for 1.378 million riyals ($367 million) as part of its strategy to maximise return on assets.
As the asset book value of the land is SAR82 million, the sale will generate a profit of SAR1.29 billion ($245 million), which will be reflected in the financial statement once the transaction is completed within 120 days, the telco said in a regulatory disclosure on Riyadh's Tadawul exchange on Wednesday.
The land, measuring over 4 million square meters, was sold to Hasan Abdulrahman Almusleh Alqahtani at a rate of SAR336 per square meter through a public auction, it added. The property is located in Al Murjan Area South of Al Aziziah district on King Fahad Road.
Payment terms include a non-refundable deposit for SAR10 million and a promissory note for SAR1.368 million.
The proceeds of the sale will be utilized by STC to expand investments and explore growth opportunities in the kingdom and the region, it added
(Reporting by Brinda Darasha; editing by Seban Scaria)
