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Mon 4 Apr 2016 05:29 PM

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Saudi's Al Tayyar says all set for $214.4m Zakhr stake buy

Travel group says it has completed all procedures to acquire 30% stake in Zakyr Investment

Saudi's Al Tayyar says all set for $214.4m Zakhr stake buy

Saudi Arabia's Al Tayyar Travel Group said on Monday it has completed all procedures to acquire a 30 percent stake in Zakhr Investment and Real Estate Development through a share swap arrangement.

The 30 percent stake in Zakhr has been transferred to Al Tayyar and the commercial registry of the travel firm has been amended to reflect the capital increase through the addition of 9.65 million new shares, Al Tayyar said in a bourse filing.

Al Tayyar, in a bourse filing on Jan. 5, said it will acquire 15 percent of Zakhr from Mohammed I. Alsubeaie & Sons Investment Co (MASIC) and the same stake from Abdullah Almishal & Sons Co (Almishal) for a total value of 803.8 million riyals ($214.4 million).

In return, the two Zakhr shareholders will receive new shares in Al Tayyar, giving the pair a combined holding of 4.6 percent in the travel company.

Zakhr Investment has a project in the holy city of Mecca which includes a hotel and residential and commercial facilities serving pilgrims and residents.

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