Batic subsidiary signs deal to acquire land in Madinah for SAR 126.4 mln

Logo of Batic Investments and Logistics Co.

Batic Investments and Logistics Co.’s fully-owned subsidiary, Batic Real Estate Co., acquired a land in Madinah on May 29 for SAR 126.39 million, excluding tax and commission.

In a statement to Tadawul, Batic said the land plot spans 229.8 million square meters (sqm) and is located in Quritha district. The company aims to develop the land plot and resell it.

The transfer of ownership completed on May 29, with the transaction fund coming from a mix of the company's internal resources and a term loan from Al Rajhi Bank.

The sellers are Rabah, Nayef, Khaled, Hazaa, Saleh, Laila, Ibtisam, Badria and Fatima -- sons and daughters of Salem Rabah Al-Sarani, Hamda Suwaider Rafi’ Al-Alawi, and the heirs of Nashi bin Rabah bin Saleh Al-Sarani.

There are no related parties to the deal, Batic said.

With this deal, Batic aims to support its strategic and development plans of expanding the diversification of real estate investments and increasing the assets in its real estate portfolio. This, in turn, will support the growth and synergy among the group's companies.

Batic expects a significant increase in assets, which will reflect positively on its growth, and will help achieve the desired positive impact of this deal and the subsequent successive opportunities in this sector, the statement noted.