Barwa offers to buy Alaqaria

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Qatar-based Barwa Real Estate Company has formally offered to buy shares of Qatar Real Estate Investment Company (Alaqaria), which if accepted would see Alaqaria become a subsidiary of Barwa.

The Offer Document, which will be distributed to the shareholders of Alaqaria, contains details of the terms and conditions of the offer and the Proposed Transaction, along with instructions for Alaqaria shareholders wishing to accept the offer.

he Offer Document will also be available to Barwa and Alaqaria shareholders on the dedicated transaction website, www.barwa-alaqaria-merger.com.

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Barwa and Alaqaria will also have their Extraordinary General Meetings (EGMs) on Tuesday 30 March 2010 at the Grand Hyatt Hotel, Doha at 4.30pm and 6.00pm, respectively, giving the shareholders of both companies the opportunity to vote on the Proposed Transaction

The offer is open for acceptance from today (Tuesday March 9, 2010) and is expected to remain open until Wednesday April 14, 2010. During this period, Alaqaria shareholders may accept the Offer by completing the Form of Acceptance in accordance with the process set out in the Offer Document.

Barwa is offering to acquire, subject to the terms and conditions set out in the Offer Document, each Alaqaria share in exchange for 1.100 shares in Barwa.

This exchange ratio values each Alaqaria share at QR36.30 per share based on the closing share prices of Barwa and Alaqaria on January 7, 2010, the trading day prior to the announcement of the initial terms of the Proposed Transaction, and represents a 30.6% premium over Alaqaria's closing share price on January 7, 2010.

Following successful completion of the offer, Alaqaria will become a subsidiary of Barwa and those Alaqaria shareholders who validly accept the offer will become shareholders in Barwa. It is expected that the shares of Alaqaria will be suspended from trading following the closing date of the offer.