DOHA: Investment Holding Group (IHG), a Qatari shareholding company, yesterday announced its intention to purchase the remaining shares of Consolidated Engineering Systems, its subsidiary. Consolidated Engineering Systems is a Qatari local company established in 2006, and has its activities in the sectors of engineering, sales, installation, integration, surveillance systems, in addition to the infrastructure of visual and audio technology.
The current shares of Investment Holding Group in Consolidated Engineering Systems are 60.4 percent. Investment Holding Group intends to purchase the whole remaining shares of Consolidated Engineering Systems (39.6 percent), IHG said in a regulatory disclosure yesterday.
On the purchase price offered by Investment Holding Group, the company said: “Consolidated Engineering Systems was evaluated by a qualified valuator in order to have a fair evaluation to the partners’ shares. The evaluation has provided a fair value of Consolidated Engineering Systems between QR481- QR655m. However, and after applying a liquidity discount, the average evaluation reaches QR476m as a fair value, or QR188.5m for the share 39.6 percent. And Parties agreed that the offered price shall be this value (with minor variances to this value subject to changes in cash balance and company working capital from the date of evaluation to the date of purchasing the shares).”
The purchase of the remaining shares of Consolidated Engineering Systems was discussed at the meeting of the board of directors of Investment Holding Group held on 28 April 2018, which recommended authorising the executive management to study this transaction, and to discuss the results with the board of directors in order to make the necessary resolutions. The executive management provided the full information of the purchase price and transaction to the board of directors on 26 June 2018, and the board of directors agreed in its meeting to purchase the remaining share of Consolidated Engineering Systems, and recommended to call for an extraordinary general assembly meeting to present the information about this transaction to obtain the approval of shareholders.
The general assembly meeting is scheduled to be held today, at Marsa Malaz Kempinski.
For over 40 years, IHG has operated under a successful economic model, manifested in the management of a range of economic activities across the contracting sector. These include embarking on specialiSed construction and contracting projects [mechanical, electrical, and plumbing (MEP); as well as project engineering and construction (PEC)], supplying building materials, safety equipment, timber, security, and fire safety installations in addition to other related products.
