“Jazz” buys shares in “Eagle Burgman” and “TCR” for 65.8 million riyals
Today, Jaz Arabian Services Company signed binding agreements with Future Horizons for Operation and Maintenance Company (one of the company’s major shareholders).
The company said in a statement on its website "Saudi Arabia trading"The agreements are to purchase ownership shares amounting to 12.90% in Eagle Burgman Saudi Arabia Company Limited, and 40% in TCR Arabia Company Limited.
According to the statement, Jaz Arabian Services Company agreed to purchase the entire ownership stake of Future Horizons for Operation and Maintenance Company in Eagle Burgman Saudi Arabia Company Limited, amounting to 12.9%, at a final cost of 48.7 million riyals.
This price reflects a 15% discount from the valuation. The financial value of the share amounted to 57.3 million riyals, which was based on a total valuation of Eagle Burgman Saudi Arabia Limited Company of 444.4 million riyals.
Jazz Arabian Services Company agreed to purchase the entire 40% ownership share of Future Horizons for Operation and Maintenance Company in TCR Arabia Limited Company at a final cost of 17.1 million riyals.
This price reflects a discount of 15% from the financial valuation of the share of 20.1 million riyals. One million riyals, which was based on a total valuation of TCR Arabia Limited at 50.3 million riyals.
Both deals include the transfer of ownership in accordance with the terms and conditions stipulated in the agreements, after obtaining the necessary regulatory approvals and fulfilling the usual conditions required to complete such deals.
She noted that these deals were financed through the company’s own resources. Payment for these deals will also be within 90 working days from the date of transferring the shares and recording them in the companies’ updated incorporation contracts.
The process of purchasing these shares aims to enhance and increase investment opportunities integrated with the services provided by the company, and the purchase process is in line with the company’s growth strategy, which aims to expand the scope of its business, diversify its sources of income, and strengthen its position in the Saudi market.
It is expected that the deal will lead to enhancing operational integration between manufacturing activities, mechanical solutions, and non-invasive inspection services.
Jaz Arabian Services Company appointed Yaqeen Financial Company to conduct a financial evaluation of both companies, in addition to appointing Qimah Financial Company to obtain a fair opinion on the two deals, including – without limitation – reviewing the evaluation reports submitted by Yaqeen Financial Company.
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