Saudi German Health sells land plot for SAR 122M

Middle East Healthcare Co. (Saudi German Health) completed the sale of a 4,000-square meter land plot, in the Al-Sahafa district, Riyadh, for SAR 122 million, exclusive of real estate transaction tax.

In a Tadawul statement, the company said the buyers are Al-Lujain Architectural Company for Development and Real Estate Investment, with 50% ownership, Abdullah Hamad Al-Mugames Real Estate Development Co. (25% stake), and Mohammed Abdulrahman Al-Mugames Real Estate Development Co. (25% stake).

The asset book value is SAR 7.99 million, Saudi German Health said, adding that the sale is part of the company's efforts to strengthen its financial position and improve cash flow.

The relevant financial impact will likely appear in the results of the quarter, in which the sale occurred.

The sale proceeds will be used to finance the ongoing activity, the medical services provider said, adding that there are no related parties to the deal.

According to Argaam data, the company generated capital gains of SAR 114 million.