First Dubai Real Estate Development Company, a fully owned subsidiary of Al Mazaya Holding, yesterday announced the company's first project in Nakheel's Waterfront development.
The Kuwait-based developer purchased four plots of land valued at KD66 million (Dh915m). First Dubai Real Estate Development Company also concluded the sale of the DIFC-based Sky Gardens tower at a net profit of KD74m. Another project announced by the Kuwaiti developer is a Dh450m residential venture called "Morina Residence", a development near the Gate of Shams Abu Dhabi on Al Reem Island.
Meanwhile, First Dubai Real Estate Development Company announced that it will raise its capital to KD100m. "An application by the board of directors of First Dubai Real Estate Development Company for a capital increase of KD78m has been approved in a general assembly held yesterday, with a 95 per cent attendance rate," said Siraj Al Baker, Chairman of First Dubai Real Estate Development Company.
"Having received approval from the general assembly to increase the firm's capital from KD22m to KD100m, the company will issue the equivalent of 779 million shares at a nominal value of 100 fils per share in order to up its liquid capital by 353 per cent, raising a total of KD77.9m to make up the capital sum of KD100m.
"Existing shareholders will benefit from this preemptive offer by making a one-off payment within 15 days, after which new shareholders may subscribe. The firm's board of directors has been authorised to regulate and oversee the terms and conditions under which the capital is to be raised," said Al Baker.
The company's new capital was specified at KD100m divided into one billion shares valued at of 100 fils per share, all of which are cash shares.
"This capital increase will fund our expansion plans across the GCC and the surrounding regions. This expansion in turn will open the door to further investments and projects, which need solid financial backing to meet the requirements of such an expansion strategy," said Al Baker.
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KD66m: The value of plots purchased by First Dubai Real Estate Development Company in Nakheel's Waterfront development. The firm is a subsidiary of Al Mazaya Holding.