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Barwa and Alaqaria agree initial terms of their proposed merger

For the attention of the holders of the US$300,000,000 Trust Certificates due 2012 issued by Qatar Alaqaria Sukuk Company and the US$270,000,000 Trust Certificates due 2016 issued by QREIC Sukuk LLC

ALAQARIA ANNOUNCES ITS Q3 RESULTS October 18, 2009

AlAQARIA ANNOUNCES ITS Q1 RESULTS April 20, 2009

AlAQARIA ANNOUNCES ITS Q3 RESULTS October 19, 2008

Qatar Real Estate Investment Company Press Conference Doha, 10 August 2008

Press Release July 22, 2008

 

Press Release
October 18, 2009

ALAQARIA ANNOUNCES ITS Q3 RESULTS
The Company reports Total Income of QR 369 million
Operating Revenues up 50%

Doha – October 18, 2009: Qatar Real Estate Investment Company (ALAQARIA), one of Qatar’s leading public shareholding companies, released today its third quarter results for the period ended 30 September 2009, with total income amounting to QR 369 million compared to QR 370 million for the same period of 2008 and net income of QR 166 million compared to QR 238 million.

Sheikh Khalid Bin Khalifa Al Thani, Chairman of ALAQARIA commented: “ALAQARIA has demonstrated its ability to overcome the financial crises and successfully established a solid base for its upcoming growth era.

During the first nine months of 2009, the Company completed 80% of its projects under construction and successfully handed them over to its clients. Also, during October, Phase 4 of the Alkhor Housing project, which cost more than QR 750 million, was completed and handed over, and its revenues will start to be reflected in the fourth quarter financials. Furthermore, ALAQARIA started the construction of new projects with an estimated cost of over QR 2 billion, and currently has in the pipeline new developments with budgeted cost exceeding QR 10 billion.

Accordingly, I can confirm that ALAQARIA is today in its best financial position. This has been demonstrated recently by Fitch, which reaffirmed the Company’s credit rating.

Finally, I would like to reconfirm our commitment to proceed with our expansion and all our well-planned housing projects in the country’s major Industrial Cities to support Qatar’s phenomenal economic growth under the astute leadership of His Highness the Emir and His Highness the Heir Apparent” .
Mohammad Mandani, Chief Executive Officer of ALAQARIA said: “ALAQARIA, supported by its strong and successful business model, has managed to deliver strong returns and establish a growing base for its shareholders. All revenues amounting to QR 369 million are 100% cash, as they do not include any revaluation gains from our real estate or financial investment portfolios.

We were successful in increasing operating revenues by 50%, as rental income increased to QR 175 million compared with QR 152 million for the same period of 2008, whereas finance lease income stood at QR 129 million compared with QR 51 million. We expect this trend to continue with the completion of Phase 4 of the Alkhor housing project this month. Additionally, we were successful in controlling operating costs which have seen a 41% decrease, a clear sign of our ability to control our costs in the current challenging environment and a testament to our ability to run an efficient business model.
General and Administrative amounted to QR 31 million compared to QR 18 million after considering the advisory fees the Company will incur to complete the merger process with Barwa Real Estate Company.

Finance Charges stood at QR 106 million compared to QR 40 million, mainly due to a reduction in the amount of charges capitalized as a number of developments were completed, as well as increased borrowings to fund new developments.

As for the reasons behind the decline in net profit, Mandani added: “We have reported investment related income of QR 148 million in 2008 compared to QR 48 million this year. We remain on target to replace this investment income with core-operational and recurring rental income upon delivery of the projects under construction which are due to be delivered in the fourth quarter of this year.

About ALAQARIA
Qatar Real Estate Investment Company, also known as ALAQARIA, is a Qatari public shareholding company, with diversified activities in the real estate sector in the State of Qatar, and the largest real estate developer in the Industrial cities of Qatar.

ALAQARIA was established in 1995. The Company was one of the first to be listed on the Doha Securities Exchange (DSM), the corporate is rated A2 by Moody’s and BBB+ by Fitch. ALAQARIA’s total shareholders’ Equity is QR 2 billion and total Assets is QR 6.6 billion. ALAQARIA owns 50% of ASAS Real Estate Co., 33% of Freej Real Estate Co., 8% of Mazaya Qatar Co. and 17% of Barwa Albaraha Co.

 

Press Release
April 20, 2009

AlAQARIA ANNOUNCES ITS Q1 RESULTS
The Company reported QR 63.8 million Net Profit
Operating Revenues Increased by 64%

 

Doha – April 20, 2009: Qatar Real Estate Investment Company (ALAQARIA), one of the Qatar’s leading public shareholding companies, released its first quarter results for the period ended 31 March 2009, with net income amounting to QR 63.8 million compared to QR 113.6 million for the same period of 2008.
“We are proud of our achievements during the first three months, as we managed to proceed with all our well-planned housing projects in the country’s major Industrial Cities to cope with Qatar’s  phenomenal economic growth under the astute leadership of His Highness the Emir and His Highness the Heir Apparent” said Sheikh Khalid Bin Khalifa Al Thani, ALAQARIA Chairman.

Mohammad Mandani, Chief Executive Officer of ALAQARIA said: “These results demonstrate the strong financial position of ALAQARIA and its solid business model. We managed to increase the operating revenues by 64%, as rental income increased to QR 58 million compared with QR 44 million for the same period of 2008, whereas finance lease income stood at QR 37.5 million compared with QR 12 million. Additionally, we were successful in controlling operating costs which have seen a 40% decrease. This is a clear sign of our ability to control our costs in the current challenging environment and a testament to our ability to run an efficient business model.

As for the reasons behind the decline in net profit, Mandani added: “We have reported investment related income of QR 98 million in the first quarter of 2008. We remain on target to replace this investment income with core-operational and recurring rental income upon delivery of the projects under construction which are due to be delivered by Q2 and Q3 of this year.

About ALAQARIA
Qatar Real Estate Investment Company, also known as AlAQARIA, is a Qatari public shareholding company, with diversified activities in the real estate sector in the State of Qatar, and the largest real estate developer in the Industrial cities of Qatar.
AlAQARIA was established in 1995. The Company was one of the first to be listed on the Doha Securities Exchange (DSM), the corporate is rated A2 by Moody’s and BBB+ by Fitch. ALAQARIA’s total shareholders’ Equity is QR 1.9 billion and total Assets is QR 6.5 billion. ALAQARIA owns 50% of ASAS Real Estate Co., 33% of Freej Real Estate Co., 8% of Mazaya Qatar Co. and 17% of Barwa Albaraha Co.

 

 

AlAQARIA ANNOUNCES ITS Q3 RESULTS
The Company reported QR 237.5 million Net Profit

Doha – October 19, 2008: Qatar Real Estate Investment Company (ALAQARIA), one of the Qatar’s leading public shareholding companies, released its third quarter results for the period ended 30 September 2008, with net income amounting to QR 237.5 million compared to QR 279.5 million for the same period of 2007. Earning per share amounted to QR 2.75 compared to QR 3.23.

“We managed to precede with all our well planned housing projects in the Industrials cities of the country to cope with Qatar’s economy’s phenomenal growth under the astute leadership of His Highness the Emir and His Highness the Heir Apparent” said Sheikh Khalid Bin Khalifa Al Thani, ALAQARIA Chairman.
Mohammad Mandani, Chief Executive Officer of ALAQARIA said: “ALAQARIA continued its remarkable accomplishments this year. We managed to complete 1000 residential units at Abusamra and Dukhan projects for phases 4&5, as well as accommodation units for more than 2500 Labors at Emsaeed developments. We expect to shortly deliver the Dukhan phase 6 project which will add 24 villas for QP senior staff with a total cost of QR 60 million. Additionally ALAQARIA delivered 500 residential units out of a total 1500 units at Emsaeed Housing project. We expect to complete it before the year end with a total cost of QR 1,200 million.
All the aforesaid accomplishments have been positively reflected in the 9 months results, with Rental income increasing by 30% amounting to QR 152 million compared with QR 117 million, and the Finance lease income increasing by 219% to QR 51 million compared with QR 16 million. These two captions are considered ALAQARIA’s main line of business, and we aim to maintain a steady growth in the future.

Investments income amounted to QR 84 million compared to QR 132 million, decrease by 36%, mainly due the fact that in the year 2007 AlAQARIA sold its share in Barwa Al Khor Company which caused a realization of an investment income of QR 105 million.
Commenting on ALAQARIA future plans and developments, Mandani added:”ALAQARIA is going ahead with the housing developments previously announced, with an expected cost of QR 10 billion to be invested, during the next five years, for the oil and gas companies operating in Qatar. Despite the current international markets disruption and scarcity in funding sources ALAQARIA has very good relations with local and regional banks and a very good credit rating that allows the company to proceed with its plans”.

 

Qatar Real Estate Investment Company Press Conference
Doha, 10 August 2008

Qatar Real Estate Investment Company (ALAQARIA) held a press conference to analyze its financial results for the period ended 30 June 2008.

Summary of projects and operations

During the first six months of 2008, ALAQARIA handed over 20% of the under construction projects, amounting to QR 540 million.
ALAQARIA was able to complete and deliver more than 950 residential units of Dukhan projects Phases IV and V, ABU SAMRA project, and accommodation units for more than 2300 Labors at Emsaeed developments.
Out of the remaining under construction projects, amounting to QR 2.4 billion, 50% is expected to get completed and handed over during the second half of 2008, which will provide 1600 residential units. For example, during August, ALAQARIA handed over 233 residential units of Mesaieed Housing Project.
The remaining part of the projects will be completed and delivered in the first half of 2009, by God’s will, which will provide additional 900 residential units.
ALAQARIA has allocated an approximate amount of QR 10 billion to be invested in future projects in the coming five years.
Some of these projects are expected to commence during 2008 with an approximate cost of QR 2 billion.
In addition to the above projects, ALAQARIA has acquired several plots of land in Doha, Energy City and Lusail City. Total area of these plots is 68,000 m2 at a cost of QR 280 million and estimated market value of QR 415 million.

Summary of ALAQARIA’s investments and strategic allies

1) ASAS Real Estate Company

During the fourth quarter of 2006, ALAQARIA acquired 50% of ASAS Real Estate Company which total shareholders’ equity is QR 1.6 billion.
ASAS properties and projects are:

1-1) Two residential towers at Doha west bay fully leased at market price to highly reputable companies.
1-2) 1,300,000 m2 of land at Al Kheesa area near to Lusail city. The Company has completed the preliminary designs to develop a project comprising of 800 residential villas, an international school and a commercial center. The Company is currently getting the necessary approvals to commence the project.
1-3) A development of 20 residential villas at Al Khor area on 8,500 m2 of land.
1-4) ASAS acquired 28,000 m2 of land at Al Marina area in Lusail City. The Company is preparing the preliminary designs to develop three residential and commercial towers.
1-5) A commercial building on the C-Ring Road, Doha, which is leased to a Qatari Bank for a five years period at market price.

Total Cost of the above assets amounted to QR 1.7 billion, and its market value is estimated at QR 2.9 billion.

2) Mazaya Qatar Company

In 2007, ALAQARIA acquired 8% of Mazaya Qatar Company. Mazaya Qatar is a Qatari Company established with a one billion Qatari Riyals authorized capital of which QR 500 million paid up and allocated between Qatari & GCC investors. 50% of the company’s capital will be invested in Real estate developments, 25% in income generating assets, and the remaining part will be invested in real estate funds and trading in real estate properties.

Recently, Mazaya Qatar has declared its intention to issue additional 50 million shares during the fourth quarter of 2008 in order for the company to be listed in the DSM.

3) Barwa Al Baraha Company

AlAQARIA owns 17 % of Barwa Al Baraha Company. The Company is developing labor accommodations, truck and car parking facilities in Doha city. Total project cost is QR 4 billion.

4) Al Fereej Real Estate Company:

In 2008, ALAQARA, Industries Qatar and Al Koot Insurance and Reinsurance Company, have established Al Fereej Real Estate Company.
The company’s authorized capital is QR 1 Billion, of which QR 300 million is paid up, and ALAQARIA share amounted to 33%.
The company will be focusing on the real estate developments in the State of Qatar as well as trading in properties.
The company has acquired a 13 storey commercial building which is under construction by ALAQARIA at the Old Slatah area to provide 13,000 Square Meters of rentable space. The construction work is expected to be completed before the end of 2008.
Also, the company acquired one piece of land at Airport area and commenced the construction work of a 7 storey commercial building to provide 16,500 Square Meters of rentable space, and the project is expected to be completed in 2 years.

Financial Results

ALAQARIA continued its outstanding performance. Following on from reporting a 122% growth in 2007, the financial results for the period ended June 2008 showed a 30% growth in net profits, as it reached QR 173 million compared to QR 132 million for the same period of 2007.

In addition, rental income and finance lease income amounted to QR 130 million compared to QR 87 million for the same period of 2007, with a growth rate of 50% due to the completion of several projects.

The company also realized QR 58 Million from sale of two properties during the period.

ALAQARIA’s share of profits from Asas Company amounted to QR 11.6 million compared to QR 2.2 million for the same period of 2007 with an increase of 427 %.

Investments income amounted to QR 64 million compared to QR 121 million for the same period of 2007. The decline is due to the fact that in the year 2007 AlAQARIA sold its share in Barwa Al Khor Company and realized an investment income of QR 105 million which was fully booked in the first quarter of 2007.

As operating income increased, ALAQARIA was able to maintain a high contribution margin by controlling its operating expenses amounting to QR 28 million compared to QR 25 million for the same period of 2007 with an increase of 12 % only.

As for the finance charges, and despite the QR 647 million increase in borrowings as of 30 June 2008 compared to 30 June 2007, ALAQARIA was able to reduce the finance cost amounting to QR 25 million compared to QR 27 million for the same period of 2007, mainly due to the successful strategies applied by the company to achieve a high credit rating from international rating agencies and its exposure to the international Debt Capital markets through the issuance of Islamic Sukuk; which resulted in reducing the overall borrowing cost by 50%.

Earnings per share amounted to QR 2 compared to QR 1.53 for the same period of 2007.

Total assets amounted to QR 4.8 billion compared to QR 4.4 billion as of 31 December 2007 with an increase of 9 %.

Total shareholders’ equity amounted to QR 2 billion compared to QR 1.8 billion with an increase of 11 %.

Recruitment Policy and Qatarization

Along with the growth in the company’s operations, the number of employees has increased to 160 employees, of which 60 are managers, administrators, engineers, and highly qualified staff.
With ALAQARIA’s commitment towards the Qatari Society, ALAQARIA has implemented a successful Qatarization program to attract Qatari qualifications, starting with executive management to the administrators and engineers. The Qatarization attained 22% of the total administration and executive positions in the company.

Share Performance

As compared to the Doha Securities Market Index, ALAQARIA’s share has achieved a remarkable performance in the past twelve months, with a 110% increase in the share price and more than 30% increase during the first six months of 2008.

It is worth mentioning, the latest initiation by Morgan Stanley which indicated a QR 105 as the targeted price per share.

Press Release
July 22, 2008

AlAQARIA CONTINUES TO GROW
ITS Q2 RESULTS

The Company reported a 30% increase in Net Profits
Doha – July 22, 2008: Qatar Real Estate Investment Company (ALAQARIA), one of Qatar’s leading public shareholding companies, reported a 30% increase in net profits for 2008 2nd quarter compared with the same period in 2007. ALAQARIA’s net profits increased to QR 172.9 million from QR 132 million over the same period in 2007. Adjusted earnings per share amounted to QR 2 compared to QR 1.53 of the same period in 2007.
“Following on from our outstanding performance last year where we reported a 122% growth in our profits, today ALAQARIA has demonstrated its ability to benefit from Qatar’s phenomenal economic growth under the astute leadership of His Highness the Emir and His Highness the Heir Apparent” said Sheikh Khalid Bin Khalifa Al Thani, ALAQARIA Chairman.

Mohammad Mandani, Chief Executive Officer of ALAQARIA said: “2008 will be full of achievements for ALAQARIA, we managed to complete Abusamra and Dukhan projects phases 4&5 which provided more than 950 residential units, and in the near future we will deliver phase 6, Emsaeed developments and Al Khor expansion. The completion of these developments will substantially improve our earnings and cash flows”.
Commenting on ALAQARIA future plans and developments, Mandani added:” We are currently preparing for developments exceeding QR 10 billion mainly for the oil and gas sector, in addition to the 730,000 square meters of freehold land ALAQARIA owns directly and through its associates; ALAQARIA will be one of the largest and leading real estate developers in the region”

About ALAQARIA
Qatar Real Estate Investment Company, also known as AlAQARIA, is a Qatari public shareholding company, with diversified activities in the real estate sector in the State of Qatar, and the largest real estate developer in the Industrial cities of Qatar.
AlAQARIA was established in 1995. The Company was one of the first to be listed on the Doha Securities Exchange (DSM), the corporate is rated A2 by Moody’s and BBB+ by Fitch. ALAQARIA’s total shareholders’ Equity is QR 2 billion and total Assets is QR 4.8 billion. ALAQARIA owns 50% of ASAS Real Estate Co., and 33% of Freej Real Estate Co.

 

Al Aqaria announces its financial statements for the First Quarter 2008

Qatar Real Estate Investment Co has announced its quarterly statements for the period ended March 31, 2008. Net Income amounted to QR 114m compared to QR 103m for the same period of 2007, and earnings per share amounted to QR 1.31 (QR 1.19-2006) with a 10% growth.

Commenting on these quarterly results, Mr. Mohammad Mandani the Chief executive officer said, as many projects where completed and handed over to our clients; the operating income for the first three months of 2008 increased by 182% amounting to QR 120m compared to QR 43m for the first three months of 2007.

We are expecting more projects to be completed during the second and third quarters of 2008, which will participate in a further growth to the operating income, Mr. Mandani added.