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Emaar enters final stages of selling Namshi to Noon

The deal is expected to close in the next 6 months
Emaar enters final stages of selling Namshi to Noon
A logo of Dubai's Emaar Properties is seen on Burj Khalifa

UAE’s Emaar Malls Management, a wholly-owned subsidiary of Emaar Properties and Noon AD Holdings announced today that they have entered into definitive documentation for Emaar Malls to sell the entire share capital of Namshi Holding to noon for a total cash consideration of 1.23 billion dirhams ($335.2 million). The consideration represents an excess of 127 million dirhams on the total investment by Emaar Malls in Namshi including purchase consideration and subsequent investment.

The transaction is in line with Emaar’s strategy to divest assets that are not core to its primary business so as to create and sustain value for its shareholders. Proceeds from the transaction will be invested by Emaar into its core real estate development business in line with Emaar’s strategy to redeploy capital across the group with a focus on investing in businesses that are of core strategic value. 

The deal is expected to close in the next 6 months, subject to meeting various conditions, including inter alia, final regulatory approvals, and approval from Emaar’s shareholders.

“The capital generated through the divestment of Namshi, a non-core asset for Emaar, would be deployed in core focus areas of Emaar to generate shareholder value. Further, the sale of Namshi at a premium to its purchase price generates additional value for Emaar shareholders”, said a spokesperson for Emaar, the parent company of Emaar Malls Management.

Emirates NBD Capital Limited and Linklaters LLP advised Emaar Malls on the Transaction as financial and legal advisors, respectively. Credit Suisse and Clyde & Co LLP advised noon on the transaction as financial and legal advisors, respectively.

The Board of Directors of Emaar has invited shareholders to the company’s general assembly meeting. If the quorum is not met, the second meeting will be held remotely / virtually on Wednesday, September 21, 2022, and on Wednesday, September 28, 2022, to discuss several topics, including Namshi’s sale transaction, as well as the Creek Harbor deal and the issue of removing the foreign ownership cap on shares.

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