Logo of Anaam International Holding Group
Anaam International Holding Group inked a non-binding memorandum of understanding (MoU) with Abu Zaid Restaurants Co Ltd. for the possible acquisition of a 55% stake in the latter.
Both parties agreed on a transaction value of SAR 75 million, and a purchase price of SAR 41.25 million.
The MoU aims to understand the initial mutual obligations and rights between the parties regarding the acquisition process to complete the deal under the agreed proposals and agreements, the company said in a bourse filing today, April 24.
It targets reaching a final agreement to acquire at least 55% of Abu Zaid Restaurants.
A final agreement will be reached when the buyer completes the required due diligence process. The MoU will be effective from the date of signing and valid for 90 days, subject to renewal on approval from both parties.
The financial impact will be determined when the financial evaluation is finalized, Anaam noted, adding that any material developments regarding the MoU or the proposed acquisition will be announced later
Abu Zaid Restaurants is located in Al-Safa neighborhood, Jeddah. It operates in the field of food serving through 34 branches across the Kingdom, with sales exceeding SAR 100 million annually.
The MoU aims to agree on the obligations and rights of both parties.
The acquisition is aimed at diversifying Anaam's business and helping it take advantage of available opportunities in the food sector and popular food restaurants, which are of great importance in local economic development and income source diversification.
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