IssuerAnnouncementDetailsV2Portlet
Actions
Knowledge Economic City Announces the Signing of Contracts Through One of its Subsidiaries with InterContinental Hotels Group to Manage and Operate a Group of Hotels in the Islamic World District Project
| Element List | Explanation |
|---|---|
| Introduction | Knowledge Economic City Company (the Company or KEC) announces the signing of a contract by its 80% owned subsidiary, Al-Gharaa International Real Estate Development Company Limited, with InterContinental Hotels Group to manage and operate a group of hotels comprising 1,057 hotel keys as part of the first phase of the Islamic World District Project (IWD). The hotels will be developed through a real estate investment fund being established and constructed in the southern part of Knowledge Economic City. The hotels area will be surrounded by the Haramain High-Speed Train Station as well as the adjacent projects, and open green areas, including parks and pedestrian pathways, the smart infrastructure provided by KEC and supported by smart transportation that connects all IWD areas to other destinations. InterContinental Hotels Group will leverage these value-added elements to provide its guests with an exceptional hospitality experience. Additionally, the hotels will offer services such as meeting rooms, all day dining, café and a gym. |
| Date of Announcement of the Award | 2024-10-03 Corresponding to 1446-03-30 |
| Contract Subject Matter | A contract has been signed to manage and operate a group of hotels comprising a total of (1,057) hotel keys which are further divided into 350 hotel keys managed under the Holiday Inn brand, 505 hotel keys under Holiday Inn Express brand and 202 suites under the Holiday Inn Suites brand. |
| The Entity with Which the Contract was Signed | InterContinental Hotels Group |
| Date of Signing the Contract | 2024-10-03 Corresponding to 1446-03-30 |
| Contract Value | InterContinental Hotels Group charges a percentage of revenue and a percentage of the gross operating profit for the hotels it manages and operates. |
| Contract Details | InterContinental Hotels Group will manage and operate 3 hotels with a total of (1,057) hotel keys which are further divided into 350 hotel keys managed under the Holiday Inn brand, 505 hotel keys under Holiday Inn Express brand and 202 suites under the Holiday Inn Suites brand. |
| Contract Duration | 15 years, extendable on mutual agreement for additional term of 5 years. |
| Financial Impact and the Relevant Period | Additional revenues and proceeds from hotels operations expected in the fourth quarter of year 2027. |
| Related Parties | None. |
The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.
Share
Company Performance
LoginPortletPopupv2
Actions
AddtoWatchlistv2
Actions