Shareholders approve Aldar – Sorouh merger
Merger will create a stronger and more diversified entity
Aldar and Sorouh shareholders have approved the merger of Abu Dhabi’s largest real estate developers.
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Abu Dhabi-listed companies Aldar Properties PJSC (Aldar) and Sorouh Real Estate PJSC (Sorouh) announced on Tuesday that shareholders have approved the merger of the two companies at their respective EGMs.
The move will create a stronger and more diversified company, which will be able to take advantage of future opportunities in Abu Dhabi and other regional markets, a statement from the company said.
Ali Eid Al Mheiri, chairman of Aldar, commented: “I am delighted that Aldar’s shareholders have given their wholehearted support to the merger with Sorouh. The merger will create a strengthened, more diversified company with a portfolio of revenue-generating assets and a very strong development pipeline that is able to take advantage of sustainable growth opportunities and bring greater value for our stakeholders.”
Aldar and Sorouh will apply for a resolution from the UAE Minister of Economy, approving the merger and the associated steps required to implement it including, the dissolution of Sorouh, the increase in the share capital of Aldar and the amendments to Aldar’s articles of association.
Sorouh shares will be delisted from the Abu Dhabi Securities Exchange and the company will be dissolved as a legal entity. The merged company will be called AldarSorouh Properties.
It is currently anticipated that the merger will become effective in June 2013.
