EGM to decide Al Falaj Hotel takeover bid
KABEER YOUSUF –
Dec 30: An Extraordinary General Meeting (EGM) which is expected to be convened soon will decide the RO14 million offer for the acquisition of the assets and business of Al Falaj Hotel, according to a key official.
“We received the binding offer and we are awaiting the shareholders’ approval for the transaction. We have already published the same with the Muscat Securities Market (MSM) and we are waiting for the future course of action which will only be decided at the EGM”, the official said on the sidelines of the distribution of charity aid to three local NGOs yesterday.
However, the official did not reveal the name of the potential acquirer or the time frame set for the total transaction.
“We cannot reveal any whereabouts of this transaction at this point of time as the bid is currently under the consideration of the shareholders and will get to know only after a couple of weeks post the EGM. But it will take effect in 2016”.
Earlier, Oman Hotels and Tourism Company, the parental company of the Al Falaj, had informed the MSM that the company had received a nonbinding offer for the acquisition of the assets and business of Al Falaj Hotel for a consideration of RO14 million.
The offer is subject to the legal and financial due diligence by the prospective acquirer. The company CEO in the statement said that the Board of Directors would consider the offer in their next meeting and will make further disclosure as and when there are developments to report.
As in every year, as part of the CSR initiatives, Al Falaj donated funds to Oman Elderly Association, Oman Cancer Association, and the Al Hayat Association. Each was given RO 3,000 by its deputy chairman.
“This initiative will continue as we grow further and the volume will go higher every year”, he added.
Oman Hotels and Tourism Company is the principal company owning Al Falaj, Ruwi Hotel, Al Wadi Hotel Sohar. besides these, it has two fully-owned subsidiaries which are Al Sharikha Hotel, Sur Plaza, Desert Camp — Wahaiba Sands