January 4, 2023

Disclosure of Material Information related to the Leasing Contracts with the PAI

 

Date 03 January 2023
Company Name Agility Public Warehousing Company KSCP
Material Information Please be informed that based on what has been circulated in the media, the Public Authority of Industry (PAI) is intending to send notifications to Agility informing the company to vacate certain areas within one week. Agility would like to confirm that the company has not received any official notification from the PAI or any other Government entity. Noting that Agility has the right to manage those lands as per the below contracts:

  1. Contract no. 211 in relation to the renting of plot outside the industrial area in Sulaibiah for development and provision of warehousing services pursuant to contract No. 211 dated 10 July 1999.
  2. Contract no. 60 in relation to the renting of a plot in Sulaibiah for development and provision of warehousing services pursuant to contract No. 60 dated 24 April 2002.
  3. Contract no. 19/2002 relating to the renting of plot in Amghara industrial for development and provision of warehousing services pursuant to contract no. 19/2002 dated 30 October 2002
  4. Contract no. 8/2003 relating to the renting of plot in Doha for development and provision of warehousing services pursuant to contract no. 8/2003 dated 12 August 2003
  5. Contract no. 208 in relation to renting a plot outside the industrial area in Mina Abdullah for development and provision of warehousing services pursuant to contract No. 208 dated 6 July 1999.

Agility believes that the above-mentioned contracts of the sites that the PAI requests to be vacated have been renewed, since Agility has sent notification to the PAI with its willingness to renew those contracts as per the terms of the contract. To protect shareholders’ rights, Agility has filed lawsuits against PAI to prove the contracts of the lands under question have been extended.
Impact of the material information on the financial position of the company

 

 At this time the impact on the financial position of the company cannot be determined. However, the plots in question based on the preliminary assessment of the run rate represent approximately 3.5% (43 Million Kuwaiti Dinar) of the consolidated revenues of the company and approximately 16% (39 Million Kuwaiti Dinar) of EBITDA. The book value of those plots represents approximately 6% of the company’s assets.

 

Best Regards,

Investor Relations Team

 

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