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Announcements & Disclosures

Al Mazaya Holding Co (K.S.C) a leading property firm in the region, signed a contribution contract with "Oman Construction" to share in a real estate investment portfolio in Oman with a capital of OMR 3.1 million. Al Mazaya's share is 40% while 12% is for Oman Construction and 12% for "Mina" real estate company. The remainder of the percentage is submitted for IPO from a chosen group of investors and real estate companies.

Two subsidiaries of Al Mazaya Holding Company in the United Arab Emirates had filed a lawsuit to the courts of the Emirate of Dubai.

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05-June-2021

With reference to the above subject and to paragraph (14،22)of article 4-1-1 of chapter 4 of book 10 of the executive regulation of law No.7 of 2010 regarding the establishment of the Capital Markets Authority and regulating securities’ activities, kindly find the attached Lawsuits disclosure form

                          Lawsuits Disclosure Form

05/06/2021

 

Date:

Al Mazaya Holding Co. K.S.C.P

 

Name of the Listed Company

297/2020 – Plenary real estate

32-56/2021 - Real estate appeal

 

Lawsuit Number

Two subsidiaries of Al Mazaya Holding Company in the United Arab Emirates had filed a lawsuit before the courts of the Emirate of Dubai with total claim amount of AED 57,876,880, which approximately equals KD 4.8 million as of May 31, 2020 against some investors for developing real estate projects in Dubai, in addition to claiming an estimated compensation including opportunity cost, extensive duplicated effort and punitive damages with total amount of AED 87,977,030, which approximately equals KD 7.4 million, in addition to the legal interest to be calculated on the claim at 9% rate from the date of the lawsuit filing until the date of the full settlement, as well as the payment of the fees and expenses and attorney fees.

 

Subject of the Lawsuit

03/06/2021

 

The Court Judgement / Verdict date

the courts of the Emirate of Dubai

The name of the Court that issued the Judgement / Verdict

Al Mazaya Emirates real estate development and Al Mazaya Real Estate FZ-LLC (subsidiaries)

  1. Granada Holdings Limited and Others

 

Parties of the Lawsuit

Al Mazaya Emirates real estate development and Al Mazaya Real Estate FZ-LLC (subsidiaries)

 

The Judgment / Verdict in favor of

The court ruled in presence that:

 1- To dismiss the case against the fourth defendant – Osus United Real Estate group closed shareholding company, previously named Atheer Real Estate Development – for lack of capacity.

 

2- The Fifth defendant is obliged to pay to claimants an amount of  AED 6,359,146.50 ( Six Million Three Hundred Fifty Nine Thousand One Hundred Forty Six Dirhams and Fifty Fills ) towards the outstanding amount for the project R022   till the date of 13- 5-2020  in addition to legal interest of  9% of the amount from the date of  legal claim till the date of full payment.

 

3- The Second  defendant is obliged to pay to claimants an amount of  AED 7,137,777.65  ( Seven  Million One  Hundred Thirty Seven Thousand Seven Hundred Seventy Seven  Dirhams and Sixty Five Fills ) towards the outstanding amount for the project R081  till the date of 13- 5-2020  in addition to legal interest of  9% of the amount from the date of  legal claim till the date of full payment.

 

4- The first   defendant is obliged to pay to claimants an amount of  AED 6,283,927.81   ( Six Million Two Hundred Eighty Three Thousand Nine Hundred Twenty Seven Dirhams and Eighty One Fills ) towards the outstanding amount for the project  R082   till the date of 13- 5-2020  in addition to legal interest of  9% of the amount from the date of  legal claim till the date of full payment.

 

5- Refuse all others sought remedies, and obliged the First, Second, and Fifth defendants to beer all the claim cost and fees and One Thousand Dirhams as advocate fee.

 

Court of First Instance Judgment / Verdict

Accepting both appeals in form and rejecting their substance as well as confirming the verdict of the First Instance Court and obliging each appealing party with costs and attorney fees and confiscating the related insurance amount.

 

Court of Appeal Judgment / Verdict

No court verdict has been issued

 

 

Court of Cassation Judgment / Verdict

The subsidiary companies have won the First Instance Court verdict which is confirmed by the Court of Appeal which obliges the defendants to pay a total amount of AED 19,780,852 in addition to the legal interest of  9% of the amount from the date of  legal claim till the date of full payments, however;  the verdict is currently undergoing an appeal by the subsidiary companies in front of Court of Cassation in order to obtain a final verdict.

There is no current financial impact, and if a final verdict is issued at the Court of Cassation which is in favor of the company, this will result in profits equal to the adjudged amount in the form of reversing the related provisions for the claimed amount, which will be recognized in the company’s consolidated financial statements upon execution of the verdict and receiving the related amount.

 

 

The expected financial impact on the company as a result of the Judgment / Verdict

With reference to the above subject and to paragraph (14،22) of article 4-1-1 of chapter 4 of book 10 of the executive regulation of law No.7 of 2010 regarding the establishment of the Capital Markets Authority and regulating securities’ activities, kindly find the attached Lawsuits disclosure form

 

                          Lawsuits Disclosure Form

 

 

 

 

05/06/2021

 

Date:

Al Mazaya Holding Co. K.S.C.P

 

Name of the Listed Company

297 / 2020 – Plenary real estate

32-56/2021 - Real estate appeal

 

Lawsuit Number

Two subsidiaries of Al Mazaya Holding Company in the United Arab Emirates had filed a lawsuit before the courts of the Emirate of Dubai with total claim amount of AED 57,876,880, which approximately equals KD 4.8 million as of May 31, 2020 against some investors for developing real estate projects in Dubai, in addition to claiming an estimated compensation including opportunity cost, extensive duplicated effort and punitive damages with total amount of AED 87,977,030, which approximately equals KD 7.4 million, in addition to the legal interest to be calculated on the claim at 9% rate from the date of the lawsuit filing until the date of the full settlement, as well as the payment of the fees and expenses and attorney fees.

 

Subject of the Lawsuit

03/06/2021

 

The Court Judgement / Verdict date

the courts of the Emirate of Dubai

The name of the Court that issued the Judgement / Verdict

Al Mazaya Emirates real estate development and Al Mazaya Real Estate FZ-LLC (subsidiaries)

Vs.  Granada Holdings Limited and Others

 

Parties of the Lawsuit

Al Mazaya Emirates real estate development and Al Mazaya Real Estate FZ-LLC (subsidiaries)

 

The Judgment / Verdict in favor of

The court ruled in presence that:

  1- To dismiss the case against the fourth defendant – Osus United Real Estate group closed shareholding company, previously named Atheer Real Estate Development – for lack of capacity.

 

2- The Fifth defendant is obliged to pay to claimants an amount of  AED 6,359,146.50 ( Six Million Three Hundred Fifty Nine Thousand One Hundred Forty Six Dirhams and Fifty Fills ) towards the outstanding amount for the project R022   till the date of 13- 5-2020  in addition to legal interest of  9% of the amount from the date of  legal claim till the date of full payment.

 

3- The Second  defendant is obliged to pay to claimants an amount of  AED 7,137,777.65  ( Seven  Million One  Hundred Thirty Seven Thousand Seven Hundred Seventy Seven  Dirhams and Sixty Five Fills ) towards the outstanding amount for the project R081  till the date of 13- 5-2020  in addition to legal interest of  9% of the amount from the date of  legal claim till the date of full payment.

 

4- The first   defendant is obliged to pay to claimants an amount of  AED 6,283,927.81   ( Six Million Two Hundred Eighty Three Thousand Nine Hundred Twenty Seven Dirhams and Eighty One Fills ) towards the outstanding amount for the project  R082   till the date of 13- 5-2020  in addition to legal interest of  9% of the amount from the date of  legal claim till the date of full payment.

 

5- Refuse all others sought remedies, and obliged the First, Second, and Fifth defendants to beer all the claim cost and fees and One Thousand Dirhams as advocate fee.

 

Court of First Instance Judgment / Verdict

Accepting both appeals in form and rejecting their substance as well as confirming the verdict of the First Instance Court and obliging each appealing party with costs and attorney fees and confiscating the related insurance amount.

 

Court of Appeal Judgment / Verdict

No court verdict has been issued

 

 

Court of Cassation Judgment / Verdict

The subsidiary companies have won the First Instance Court verdict which is confirmed by the Court of Appeal which obliges the defendants to pay a total amount of AED 19,780,852 in addition to the legal interest of  9% of the amount from the date of  legal claim till the date of full payments, however;   the verdict is currently undergoing an appeal by the subsidiary companies in front of Court of Cassation in order to obtain a final verdict.

There is no current financial impact, and if a final verdict is issued at the Court of Cassation which is in favor of the company, this will result in profits equal to the adjudged amount in the form of reversing the related provisions for the claimed amount, which will be recognized in the company’s consolidated financial statements upon execution of the verdict and receiving the related amount.

 

 

The expected financial impact on the company as a result of the Judgment / Verdict

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