Arabian Centres Co. — Capital/Financing Update 2021

Jan 28, 2021

Arabian Centres Co. announces the receipt of full dues from one of its related parties

4321 · 28/01/2021 08:09:25 · Announcement #61769 · View on Saudi Exchange

Arabian Centres Co. announces the receipt of full dues from one of its related parties

Element List

Explanation

Announcement Detail

Arabian Centers Company (“ACC” or the “Company”) announces its Board of Directors’ resolution on Wednesday 27 January 2021 approving the full receipt of all dues from FAS Holding Company for Hotels (a related party) amounting to SAR 350.3 million as on 30 September 2020 mainly through in kind settlement (real estates) and partially through cash, where the Company will undertake four plots of land and a building located strategically in Jeddah, Dammam, Al-Ahsa and Al-Kharj.

It is worth noting that the valuation of the properties has been carried by four accredited and independent real estate valuers, while the two parties agreed that ACC will undertake these real estates at a 9% discount from the valuation median.

Also, it should be noted that Arabian Centres management has ensured that these plots of land are located strategically (two of them are adjacent to existed malls) in order to support the Company's broad strategy, which aims to expand within the lifestyle shopping centers, as the choosing process has been validated by a third party strategic real estate advisers.

Furthermore, the voting process on this resolution was conducted by the independent members of the Board of Directors only.

The financial impact of this transaction is expected to appear in multiple times on the Company's financial statements during the coming four quarters, starting from the fourth quarter ending on 31 March 2021.

The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.