Tejoori to sell another Arjan plot for $3.7m

Dubai-based Shari'a-compliant investment company Tejoori announced on Wednesday that it entered into an agreement on 4 October with SRG Holding, to dispose of one of the two Arjan plots of land currently owned by Tejoori and part of Tejoori's investment portfolio, for a cash consideration of $3.7m.

The London-listed firm said the Arjan Plots currently owned by Tejoori comprise two plots of land in Arjan, a commercial and residential property community development within Dubai Land in Dubai, United Arab Emirates.

Tejoori acquired the two Arjan Plots in December 2012 along with a third Arjan Plot.

As previously announced the third plot was sold on 3 May for a cash consideration of $6.5m.

The book value of the three Arjan Plots in Tejoori's unaudited interim accounts as at 31 December 2015 was $13.91m.

Tejoori said the Arjan Plot subject to the disposal had a book value of $3.06m the firm's accounts as at 31 December 2015 and had a total ground floor area of approximately 167,552 sq ft.

No development has taken place on the plots to date, and in the latest published accounts for the 12 months ended 30 June 2015, the three plots did not contribute any revenue to Tejoori and incurred a loss on revaluation of US$2.55m.

“We are pleased to have entered into an agreement for the sale of the plot for a cash consideration in excess of the last published book value,” said CEO Abdullah Lootah.

“We will keep shareholders updated on our plans for the remainder of our portfolio and the plans for the company going forward.”