Doha: Gulf International Services (“GIS”; QE ticker: GISS), has entered into an interim agreement with Manaya Holding Group, in relation to a potential all-share merger of Amwaj Catering Services Limited (“Amwaj”), wholly owned subsidiary of GIS, with selected entities of Shaqab Abela Catering Services Co. & Atyab Fruits and Vegetables.
The potential merger would create a sizeable 100 percent Qatari services company and is expected to contribute positively to the industrial catering and manpower services sector in Qatar. The newly merged entity would continue to support corporate businesses, including small and medium-sized enterprises, by providing a wide range of services.
With an aim to positively contribute to State of Qatar’s economy, the potential merger would create value on the back of Qatar’s strategic North Field and overall energy sector expansion. The potential merger will also pave way for strategic partnership between public and private sectors.
The potential merger would form a local champion with increased competitive advantages and providing better avenues of growth alongside capturing major commercial & operational synergies, which would lead to medium- to long-term value creation for all the stakeholders, including respective shareholders of each company.
The potential merger is subject to the completion of a detailed valuation exercise, definitive agreements with the respective shareholders and regulatory approvals, along with other customary closing conditions. Upon a definitive merger agreement, further details about the merger will be announced.
