BAAN issues circular on capital hike via real estate asset acquisition

Logo of BAAN Holding Group Co.

BAAN Holding Group Co. published a shareholder circular on a proposed capital hike to finance the acquisition of real estate assets from Al Oula Real Estate Development Co.

In a statement to Tadawul, the company said it plans to raise its capital by SAR 65.58 million through issuing 65.58 million ordinary shares to Al Oula Real Estate.

BAAN also said it will acquire real estate assets from Abdulmohsen Abdulaziz Alhokair Holding Group (Alhokair Holding) in exchange for a capital increase of SAR 239.39 million, through the issuance of 239.39 million ordinary shares to be allocated to Alhokair Holding.

The assets include three hotels and the land on which they are located.

The company said the circular outlines the details of the transaction, including its terms and conditions, the parties involved, completion procedures, and associated risks.

BAAN board members emphasized the importance of reading and carefully studying all the information contained in the shareholder circular before voting on the transaction.

Shareholders are advised to seek independent financial advice from a CMA-licensed adviser before voting on the transaction at the extraordinary general meeting (EGM), and to rely on their own assessment of its suitability.

The board Chairman disclosed members’ direct and indirect interests in related-party transactions, including details of such dealings.

According to data available on Argaam, BAAN is set to hold an EGM on April 23 to vote on the company’s acquisition of real estate assets from Al Oula Real Estate and Alhokair Holding via a capital increase and issuing new shares.

The company’s accumulated losses reached SAR 312.73 million, or 99.28% of capital as of Dec. 31, 2025.

To View shareholders’ circular and the letter of notification from the board Chairman:

Shareholders’ circular

Letter of notification