Saudi Real Estate sets up new contractor

Saudi Real Estate Company has received regulatory approval to set up a new construction contractor.

Saudi Arabia’s ministry of commerce and investment gave the green light to establish Saudi Real Estate Construction Company, a Saudi closed joint stock company.

In a statement to the Saudi Stock Exchange (Tadawul) in February, Saudi Real Estate said it had been advised by consultants to establish a company for contracting and building construction works.

The new company will start with a capital of SAR 100mn ($26.6mn) consisting of 10 million common shares with par value of SAR 10 each.

Saudi Real Estate has subscribed for 60 percent of the shares of the new company while Kaya Homes has subscribed for the remaining 40 percent.