DOHA: Barwa Real Estate Group announced the completion of its transaction with Qatari Diar. The agreement included selling Barwa Real Estate Group shares in Barwa Bank, Barwa Commercial Avenue, Barwa Al Sadd & Barwa City, and some other assets.
As part of the transaction, Barwa Real Estate completed selling its shares in Barwa Bank which are 37.34 percent of the total shares of the Bank to Qatari Diar in a deal worth QR7.6bn. Barwa Real Estate also sold its shares in Barwa Commercial Avenue which are 95 percent of the total shares to Lebreqa Real Estate (owned by Qatari Diar) on July 14, 2014 in a transaction worth QR9bn, with the final deal value pending for completion.
Barwa said in a regulatory filing to Qatar bourse yesterday that all those transactions were utilised to close Barwa debts. Qatar Exchange (QE) and Qatar Financial Centre were informed by those transactions on time.
On November 5, 2014, Barwa announced amending the agreement with Qatari Diar after Barwa took back its shares in Barwa Al Sadd project after studies confirmed the economic importance of retaining this project. As per the transaction, Qatar Diar, strategic partner of Barwa Real Estate, decided not to go further with the transfer of the rest of assets as the part which was already completed had significantly reduced Barwa debts.
The assets which were not transferred to Qatari Diar are some local and international assets from Barwa investment portfolio which are worth QR1,400m as per the agreement. The completion of the transaction recorded some loss resulted by the low value of those assets and some costs associated with them, this is a total of QR 239m of Barwa financial statement of 2014.
The Peninsula
