Mazaya Qatar is Considering a Strategic
Partnership with Al Bandary Real Estate
December 23, 2018
Mazaya Qatar Real Estate Development
announced its intention to study the feasibility of a merger
with Al Bandary Real Estate. Mazaya's Board of Directors agreed
to begin the study and issued directives to appoint legal and
financial advisors to start feasibility studies, who will then
present the final results to the Board to make the appropriate
decision.
In response to a question about the
importance of the partnership with Al Bandary Real Estate, Mr.
Rashid bin Fahad Al Naimi, Chairman of Mazaya Qatar Real Estate
Development, said that the transaction is a strategic
partnership with one of the leading real estate companies in
Qatar. He explained that Al Bandary owns income generating real
estate assets that include supporting services for the industry
of, alongside a vast experience in construction, and management
of mega projects. Moreover, this possible merger is in line with
the policy of Mazaya Qatar Real Estate Development, to enter
into projects and transactions with considerable income
forecast, which elevates the position of the company in the
local market through the increase of the value of its assets,
which reflects positively on the earnings per share and benefits
shareholders.
Mr. Hamad bin Ali Al Hedfa, Board Member and
Chief Executive Officer of Mazaya Qatar Real Estate Development,
said that such support services would reduce capital and
operating expenses, and ensures a better quality of services for
customers. The value of the transaction will be determined after
the consultants' work has ended, and such transaction is
expected to have its positive return, which will result in an
increase in the company's profits and assets, and enhances the
stability of the company domestically and regionally.
Mr. Mohammed bin Abdul Latif Al Mana,
Chairman of Al Bandary Real Estate, said: Mazaya Qatar Real
Estate Development is one of the leading real estate developers
listed on the Qatar Exchange. Mazaya has been a pioneer in the
implementation of BOT contracts based on eco-friendliness and
sustainable development standards in the development of its real
estate projects. The company's expertise in such investments is
an added value to the potential deal between the two companies.
Mr. Mohammed bin Abdul Latif Al Mana
continued: the potential transaction will expand the customer
base of the two companies and raise the value of their financial
leverage in terms of increasing their real estate assets and
their unlimited expansion to develop the real estate sector in
all its aspects through the launch of new projects and increase
the volume of sales and the pace of implementation, the success
of the transaction will create a new entity that will be one of
the largest players in the Qatari Real Estate sector.
He added that such mergers enhance the
chances of involved companies to achieve their strategic
objectives and benefit from the opportunities for cooperation.
This possible merger will have a positive impact on the Qatari
real estate market in terms of rebalancing the market and
consolidating companies to become influential, better equipped
to compete, and regain consumers’ confidence in the industry.
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