Kuwait-listed National Real Estate Company expects to record a profit of 1 million Kuwaiti dinars ($3.25 million) from the sale of a plot of land on Al Reem Island in Abu Dhabi.

The subsidiary, Derwaza Properties Development Limited, has entered into a memorandum of understanding to sell 1,994 square metres (sqm) of land for KWD 4.33 million (AED 52 million), the developer said in a statement.

Shareholders’ equity is set to rise by nearly KWD 1 million on the balance sheet following the deal, the statement added.

No details were given on the purchaser of the land.

In April, NREC said its subsidiary signed a share sale agreement to sell its entire 50 percent shareholding in Mediterranean Investments Holding to two buyers for 74 million euros ($87 million).

The 25 percent stake will go to International Hotel Investments, while the remaining shares will go to the existing shareholder, Corinthia Group Companies CPHCL Company Limited.

(Writing by P Deol; Editing by Anoop Menon) (anoop.menon@lseg.com)

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