Global Investment House (Global) today held a special seminar at the Kuwait Stock Exchange (KSE) on listing AlTameer Real Estate Investment Company (Tameer) scheduled to commence tomorrow Monday December 12, 2005.
Attending the seminar were, from Tameer Mr. Najeeb AlSaleh, Vice Chairman and Managing Director, Mr. Tamer Naseef, the Financial Controller at Tameer, and from Global Mr. Omar M. El-Quqa, Executive Vice President, and Mr. Mohamed Abdul Aziz, Financial Analyst, where they gave a detailed explanation of Tameer’s operations and financial data.
At the beginning, Mr. El-Quqa spoke briefly about the company’s history and the nature of its work, then he addressed Global’s role in listing Tameer on KSE, which comes at market upsurge period.
“The listing coincides with the high activity that the market witnesses, either from the increase of the size of the current shares or, the rise of value,” he said. “It also comes during an upsurge in big real estate projects across the region.”
He expressed his confidence in the healthy effect of listing new companies on KSE, and described it as a “healthy economic phenomenon, however, it must be studied and controlled by market laws and regulations.”
“I think there’s more room for new companies in Kuwait’s market and there’s no reason why it should be held back or restricted if all conditions apply. However, having said that, I should stress that the listing of a company should be based on sound and valid economic bases and not done just for the sake of being on the ticker,” he followed.
Mr. El-Quqa stressed that the investors and the market conditions should be the “final judge” on the validity of any listed company, once it enters the market following the internationally recognized listing rules and regulations, one that Global adheres to.
He pointed that there are currently 26 newly listed companies since the beginning of 2005; with Global managing five of those listings. In addition, there are 27 listed real estate companies and Tammer will be the 28th entrant.
From his side, the Mr. AlSaleh thanked Global for its efforts to complete Tameer listing on KSE, and hoped that it will added value to the spectrum of listed companies.
He affirmed that listing the company on KSE is the first step in an ambitious stage in its life as it’s gearing up to enter a number of real estate investment projects the latest is Corniche Club, the newest and most luxurious health club in the region.
Since the second half of 2004, the company has changed its activities to focus on investment real estate properties, which is one of the most lucrative segments of the general real estate market, he added.
The company owns 82% of Al Corniche Club Company. Al Corniche’s main activity is to establish, operate, and manage health clubs in Kuwait and outside Kuwait. The company recently opened its first major project; Al Corniche Club, a fitness club and spa in Al-Shaab Marine Club.
Tameer has also invested in Ikros Real Estate Company, which will manage and develop Failaka Island and transform it to a major tourism resort. In addition, it owns 70% of Global Hospitality Holding Company; a company specialized in hotel management. Global Hospitality Holding Company owns the franchise rights for Ramada Hotels in Egypt, Morocco, Lebanon, Bulgaria and Libya.
The company has recently signed a contract to manage two hotels in Cairo and Mansoura, Egypt, and there are three more contracts in the pipeline for similar projects in Casablanca and Tanga, Morocco.
A video presentation on Tammer followed Mr. AlSaleh’s speech.
Later, Mr. Abdulaziz spoke about the current real estate market conditions and the growth the market’s indices has witnessed. He then gave a brief on Tameer’s financial statues.
He pointed that the company assts grow from Eight million dinars in 2002 to KD37.5 million as of September 30, 2005. During the first quarter of 2004, the company raised its capital from Eight million dinars to KD20 million to finance it investment, current and expansion projects. Shareholders equity stood at KD31.4 million as of 30 September 2005.
Mr. Abdulaziz added that Tameers net profit was KD693 thousands end of September 2005, Earnings per share (EPS) 3.61fils, and 2004 dividends were 5fils.
As for the stock performance, Global’s financial analyst explained that the Share Book Value rose to 154fils on 30 September 2005 compared to 57fils by 2002 year end.
At the end, Mr. El-Quqa said that the company will be listed as “Tameer” on KSE. He thanked the company for choosing Global to manage its listing. Mr. El-Quqa also thanked KSE and Ministry of Commerce & Industry for their cooperation.
Al-Tameer is a Kuwaiti shareholding company established in 1978. In 14 June of 2003, Al-Massaleh Real Estate Company held a mahor stake in Tameer. Al-Massaleh bought the remaining shares to have full ownership of the Company.
The major business activities of the company include managing, operating, investing, and renting hotels, fitness clubs, motels, guesthouses, resting areas, parks, gardens, exhibitions, restaurants, cafeterias, residential blocks, touristic and leisure properties, spas and health resorts, sport complexes, shops, and warehouses catering to different classes of customers.
