Thimar signs contract to buy 26% of Yamama Plus Apartments Co. for SAR 9M

Logo of Thimar Development Holding Co.

Thimar Development Holding Co. signed an asset sale and transfer agreement to acquire 26% of Yamama Plus Serviced Apartments Co. for a cash and in-kind value of SAR 9 million.

In a statement to Tadawul, Thimar said it will transfer its investment in the Osool & Bakheet-Al Yamama City Center Fund, in which the company invested SAR 6 million on June 11, 2024. This investment has been valued at SAR 7.61 million as an in-kind consideration for the target acquisition.

Meanwhile, Thimar will pay SAR 1.39 million in cash once the previously announced capital increase is finalized.

Thimar has the option to exit three years after signing the contract for no less than SAR 15 million. The company will generate returns of no less than 22% annually from this investment, in case it opts to exit.

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The acquisition is expected to have a positive financial impact on Thimar going forward. There are no related parties to the contract, the company added.

The in-kind contribution delivered a 27% profit for Thimar in less than a year. In case the company fails to pay the cash consideration, its stake in Yamama Plus will stand at 22% instead of 26%. The divestment value will be pro rata.