The shareholders of the United Real Estate Company (URC), a leading real estate developer in Kuwait and the MENA region, have approved the company’s merger with United Towers Holding Company (UTHC) and Al Dhiyafa Holding Company (DHC) at The Extraordinary General Assembly held on October 24, 2022.
The shareholders also agreed to increase the company’s capital by about KD 24.3 million from KD 118.8 million to KD 143.1 million, by issuing 242.6 million ordinary shares at nominal value. 184.2 million shares of the shareholders’ increase will be allotted to the shareholders of UTHC and DHC at a share exchange rate of 0.64 new shares in URC for every share in UTHC. Also, 58.3 million shares will be allotted to the shareholders of Al Dhiyafa Holding Company at a share exchange rate of 0.58 new shares in URC for every share in DHC.
Mr. Mazen Issam Hawwa, URC Vice-Chairman & Group Chief Executive Officer
Commenting on this announcement, Mr. Mazen Issam Hawwa, URC Vice-Chairman & Group Chief Executive Officer, said: “We are working within a clear strategy that aims to achieve the desired value and results from this merger, which is to upgrade the company’s asset portfolio and enhance the company’s capacity. We’re basically looking to increase revenues, which leads to added value for all the shareholders participating in this entity resulting from the merger.”
Mr. Hawwa added: “We are happy to have obtained the approval of our shareholders to implement the merger with United Towers Holding Company and Al Dhiyafa Holding Company. Earlier, the merger was approved by the shareholders of both companies in their Extraordinary General Assembly held on October 17, 2022, and we look forward to completing the final procedures and implementing the deal by the end of 2022.”
“I would like to thank the regulatory and supervisory authorities for their cooperation and facilitation of this merger while taking into account the interests of all concerned parties. I would also like to express my appreciation for the considerable efforts deployed by the team and associated partners, whose role was commendable in the merging process.” Mr. Hawwa concluded.
About URC
United Real Estate Company. K.S.C.P (URC) is one of the leading real estate developers in Kuwait and the MENA region, with consolidated assets of Approx. KD 600 million (US$ 1.96 Billion) as of 30 June 2022. Headquartered in Kuwait, URC was founded in 1973 and was listed on the Kuwait Stock Exchange in 1984.
URC primarily operates through a number of operating subsidiaries and investment arms across the MENA region. URC's core business is real estate development and operations and enjoys a diversified portfolio of assets that include retail complexes, hotels, residential properties, and high-rise office buildings.
URC’s operations extend to construction and contracting services, facility management, and project management through its several subsidiaries. URC's portfolio of assets is geographically spread throughout the MENA region and includes Marina World, Marina Hotel, and KIPCO Tower in Kuwait, Salalah Gardens Mall & Residences in Oman, Abdali Mall in Jordan, Raouche View 1090 in Lebanon, Hilton Cairo Heliopolis & Waldorf Astoria Hotels, and Aswar Residences in Egypt, and Assoufid development including a golf resort, five-star hotel, and premium residences in Morocco.
URC is the real estate arm of its majority shareholder, Kuwait Projects Company – Holding (KIPCO Group), a holding company that focuses on investments in the Middle East and North Africa. It’s strategy of acquiring, building, scaling and selling companies in the MENA region has worked successfully for over 30 years. KIPCO’s main business sectors are financial services, media, real estate, and industry. KIPCO’s financial service interests include holdings in commercial banks, insurance companies, asset management, and investment banking.