The Securities House KSCP (“The Securities House”) Board of Directors held a meeting on Tuesday 31 January 2017, whereby an offer was made to Al Aman Investment Company KSCP (‘Al Aman”), proposing the merger between The Securities House and Al Aman, which was accepted by Al Aman in principle.
This decision had come as a result of the vision of The Securities House’s management to maximize shareholders’ equity and creating added value through the merger between the two companies, as the combined entity will include a diversified set of expertise and assets as well, among those are the existing expertise in the real estate sector, international investments in addition to the additional expertise in the asset management and private equity, which will increase and diversify both sources of income and assets, result in more efficient management of operational risks, and have positive impact on the company’s shareholders post the merger.
As this preliminary agreement is in its early stages, the necessary procedures will be initiated in accordance with Capital Markets Authority (“CMA”) related rules, including a detailed valuation of merger feasibility and the appointment of an CMA’s approved advisor to provide services related to merger and prepare the merger contract which will be subject to the approval of regulatory bodies, in addition to The Securities House’s general assembly.
The company will disclose any updates in this regard as they evolve.
