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This is a non-certified translation of the original Arabic version of the Prospectus.

This English version is provided for convenience only and does not constitute a legal document. Subscribers
should only rely on the Arabic version of the Prospectus. In case of discrepancies or omissions, the Arabic version shall prevail.

The information contained in this Prospectus is subject to amendments or additions without notice. This Prospectus does not constitute an offer to sell or the solicitation of an offer to buy nor may
there be any sale of the shares in any jurisdiction in which such offer, solicitation, or sale would be unlawful.

Prospectus for Offering Shares in the Companys Share Capital

AMANAT HOLDINGS
Public Joint Stock Company
(under incorporation in the United Arab Emirates as a Public Joint Stock Company)
Date: 20 October 2014
Subscription Period from 20 October 2014 to 4 November 2014
Initial Public Offering of 1,375,000,000 ordinary shares (Offer Shares) at an offer price of AED
1.00 per Offer Share (Offer Price)
(with an additional AED 0.02 per Offer Share in offering costs)
This is the initial public offering (Offering) of 55% of the total shares (Shares) of
Amanat Holdings (Amanat Holdings or the Company), a public joint stock company (PJSC)
under incorporation in the United Arab Emirates (UAE). Prior to this Offering, there has been no
public market for the Shares. Following the Offering and the completion of the incorporation process, the
Company will apply to list its Shares on the Dubai Financial Market (DFM).
The Offering is open to individual and institutional subscribers (Subscribers) and is restricted to the
following:
1-Individuals/natural persons, except citizens/nationals of the United States of America (US);
2-Sole proprietorships and companies, regardless of the nationality of these entities, with the exception of
US Persons (within the meaning under the Securities Act of 1933, as amended);
3- In accordance with Article 80 of the Companies Law and its amendments, the Emirates Investment
Authority (EIA) shall have the right to subscribe to the shares of any public joint stock company
incorporated in the UAE with a percentage not exceeding 5% of the Offer Shares. The allocation to the
EIA must be made prior to subscription and allocation to other subscribers; and
4- Public bodies and authorities of the Federal government of the UAE or any one of the Emirates or any
country within the GCC or any other country; according to the terms and conditions set forth in this
Prospectus.
Every Subscriber must hold a NIN and bank account number in order to be eligible to apply for the Offer
Shares.
The Offering is expected to start on 20 October 2014 and to close on 4 November 2014 (Closing
Date).
The Offering of the Offer Shares has been authorized by the UAE Securities and Commodities Authority
(SCA).
The Arabic version of this Prospectus has been approved by the SCA on 19 October 2014 as per the
provisions of the Commercial Companies Law Number 8 of 1984, as amended, and its executive
resolutions (Companies Law).
Investment in shares involves a high degree of risk. Prospective Subscribers should carefully read
the Risk Factors Section of the Prospectus to inform themselves about factors that should be
considered before subscribing for the Offer Shares.
__________________________________________________________________________
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Name of Participants in the Offering

Joint Lead Managers

Emirates Financial Services PSC

National Bank of Abu Dhabi PJSC

Offer Manager

SHUAA Capital PSC

Lead Receiving Bank

National Bank of Abu Dhabi PJSC

Co-Lead Receiving Bank

Emirates NBD PJSC

Receiving Banks

Abu Dhabi Commercial Bank PJSC

Dubai Islamic Bank PJSC

Abu Dhabi National Islamic


Ajman Bank

Finance

Union National Bank PJSC

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Finance House

Abu Dhabi Islamic Bank PJSC

Legal Counsel to the Company

Al Tamimi & Company


Dubai International Financial Centre
6th Floor, Building 4 East
Sheikh Zayed Road
PO Box 9275
Dubai
UAE

Legal Counsel to the Joint Lead Managers

White & Case LLP


16th Floor, Al Sila Tower
Sowwah Square
PO Box 128616
Abu Dhabi
UAE

Reporting Accountants and IPO Subscription Auditors

KPMG
Level 13, Boulevard Plaza Tower One
Mohammad Bin Rashid Boulevard
PO Box 3800
Dubai
United Arab Emirates
This Prospectus is dated 20 October 2014

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IMPORTANT NOTICE
(To be carefully read by all Subscribers)

This Prospectus is primarily intended to furnish investors with the basic information that could help them
to invest in the Offer Shares. Prior to applying for subscription, each Subscriber must carefully examine
and consider all data included in this Prospectus as well as the articles of association of the Company
(Articles) to determine whether it is appropriate to invest in the Offer Shares or not. Each investor
must also consult his/ her financial and legal advisor on the investment in the Offer Shares offered for
subscription. The Prospectus reader must note that words and phrases stating that information is
estimated and reliant on future assumptions indicates that it is uncertain data and such future estimations
cannot be entirely reliable. This Prospectus is subject to revision since it is not possible to ascertain future
circumstances causing a material difference between the actual and expected results.
This notice is addressed to all investors to educate them on certain additional risk and challenges in respect
of investing and subscribing in the share capital of newly established companies. Irrespective of the general
potential risks associated with investing in capital markets, investing in newly established entities involves
additional risks as follows:
The newly established companies do not have any work precedent or a track record that proves that the
founders or the directors are capable of achieving the targeted results for the Company. This is in contrary
to the established companies that offer a certain percentage of its shares to the public. These companies
have a track record and have proven its ability to generate profits, which helps the investor to base the
investment decision on solid grounds.
Although feasibility studies are prepared in respect of the activities of the newly established companies by
specialized firms, these feasibility studies include a notice indicating that the study is prepared on
assumptions and there are no guarantees that the indicated results or profits will be achieved or even a
guarantee in respect of the capital. The preparers of the feasibility studies disclaim their liability in respect
of guaranteeing the results included in the study. Several parts of the study are based on assumptions and
information provided by the founders and reflect their vision and expectation in respect of the future of
the Company.
The markets are highly competitive for most of the economic activities. This is a significant challenge for
newly established companies to be able to exist, undertake its activities and form a client base and stable
work volume in light of the lack of practical experiences and the track record that would, if existed, support
its existence in the targeted markets.
Newly established companies require a period of time that could extend to years, to be able to stabilize its
operations in the markets and generate profits to investors. This is unlike established companies which
have a work precedent, track record and financial and operational results that would allow the investor to
solidify their investment decision.
It should be a point of focus as to the concentration of founders shares with individuals and entities with
experience and track record in the same field as the Company. Risks increase significantly when a large
number of founders are of different fields, which leads to the fact that there is no major sponsor for the
Company who owns a controlling stake and is keen as to the success of the Company.
Investors should pay attention to the activities and should read the business plan summary of the Company
and should be aware as to the investment projects and services of the Company. It is worth noting that
newly established companies are established to invest in securities or to contribute in share capitals of other
companies or to acquire assets, projects or existing companies. This type of investment activities involves
high risk as a result of the valuation processes of such assets, projects or existing companies that are
sometimes undertaken without adequate review by independent entities.
The approval of the SCA on the offerings made by newly established companies does not imply that the
SCA guarantee or confirm the accuracy or the validity of the information and assumptions on which the
feasibility study is based. The SCA does not guarantee the results in connection with the business plan of
the Company. The SCA approval must not be construed as an investment advice or recommendation to
invest in companies offered.
Investment in the Offer Shares may entail considerable risks. Therefore, the investor must not invest any
funds in this Offering unless he/ she is able to bear the loss of his/ her investment (kindly refer to ''Risk
Factors'').
Prior to subscribing to the Offer Shares each subscriber needs to review carefully all data and information
contained in the prospectus and the articles of association of the Company to decide whether or not
investing in the Offer Shares is suitable. Each investor should consult with his financial and legal advisor
in respect of investing in the Offer Shares. The reader of the Prospectus must note that the words and
expressions indicates that the information are projected and is based on assumptions and further indicates
that the information is not certain and it projections should not be relied upon. The Prospectus is subject

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to amendments as a result of the uncertainties surrounding the future events which might cause a material
difference between the actual and projected results.
Investment in the Offer Shares may entail considerable risks. Therefore, the investor must not invest any
funds in this Offering unless he/ she is able to bear the loss of his/ her investment (kindly refer to ''Risk
Factors'').
This Prospectus contains data submitted according to the issuance and disclosure rules issued by the SCA.
All founders and nominated members of the Companys board of directors (Board) whose names are
stipulated in the contents of this Prospectus shall be severally and jointly liable for the accuracy of
information and data contained therein and they must ensure to the best of their knowledge and belief,
and upon doing due diligence and conducting possible and reasonable investigations, that there have been
no omissions of other material facts or information that would mislead or affect the investment decision
of the Subscribers.
The Offering under this Prospectus is presented to the SCA for the purpose of the Offering in the UAE.
If the Offer Shares are offered in another country, the Company shall, if so required under applicable laws
and/or regulations, take all procedures and measures and obtain all approvals from the authorities
concerned in such countries before offering the Offer Shares therein.
This Prospectus was adopted by the SCA on 19 October 2014. This approval shall neither be deemed as
an approval of the investment feasibility nor a recommendation of subscription, but it means only that the
minimum subscription requirements according to the issuance rules and information disclosure applicable
to the Prospectuses and issued by the SCA have been met. The SCA shall not be held liable for the
accuracy, completeness or sufficiency of the information contained in this Prospectus, nor shall be held
liable for any damage or loss suffered by any person due to reliance upon this Prospectus or any part
thereof.
Emirates Financial Services PSC (EFS) and National Bank of Abu Dhabi PJSC (NBAD) have been
appointed as joint lead managers (together the Joint Lead Managers). SHUAA Capital PSC was
appointed as the Offer Manager (the Offer Manager). The Joint Lead Managers, the Offer Manager
and Deutsche Bank AG (DB) and Credit Suisse Securities (Europe) Limited (CS), (DB and CS
together Joint IPO Coordinators) are acting exclusively for the Company and no one else in connection
with the Offering, will not regard any other person (whether or not a recipient of this document) as a client
in relation to the Offering and will not be responsible to anyone other than the Company for providing
the protections afforded to their respective clients nor for giving advice in relation to the Offering or any
transaction or arrangement referred to in this document. The Joint IPO Coordinators are not participating
in receiving the subscription funds or managing the public offering of the Offer Shares in the UAE.
This Prospectus was issued on 20 October 2014.

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AMANAT HOLDINGS (under incorporation) and the founding shareholders (Founders) (represented by
the Founders Committee as defined herein) and nominated board members, whose names are set out in this
Prospectus, are jointly and severally responsible for the integrity of data and information stated in the Prospectus.
They confirm, according to their knowledge, due diligence and after conducting the possible and reasonable
examination, that no other facts or material information are excluded from the Prospectus, which might have
rendered this Prospectus misleading or might have affected the investment decision of the Subscriber(s).
The information set out in this Prospectus shall not be changed or amended unless the SCA approval is obtained
and the public are notified through publication in daily newspapers according to the SCA rules.
This Prospectus does not constitute an offer to sell or an invitation by or on behalf of the Founders or the
Company to subscribe for any of the Offer Shares in any jurisdiction outside of the UAE. This Prospectus may
not be distributed in any jurisdiction where such distribution is, or may be, unlawful. The Founders, Company,
Joint Lead Managers, Lead Receiving Bank, Co-Lead Receiving Bank and Receiving Banks require persons into
whose possession this Prospectus comes to inform themselves of and observe all such restrictions.
Any reference in this Prospectus to Booz & Company undertaking services is on the understanding that the
deliverables produced pursuant to such services (whether in the form of reports, analyses or other material
provided by Booz & Company) are intended to be solely for the benefit of the Company and that no third parties
may rely on or indirectly benefit from such deliverables, have any claim or be entitled to any remedy from Booz
& Company or otherwise in any way be regarded as third party beneficiaries with respect to Booz & Companys
deliverables.
This Prospectus may not contain all the information that the prospective Subscribers should consider before
deciding to invest in the Offer Shares. Prior to making their decision to invest in the Offer Shares, prospective
Subscribers should carefully read the entire Prospectus, including the section entitled Risk Factors and consider
the suitability of this investment including undertaking their independent research, making their own enquiries
and consulting their financial advisors to assist them in arriving at an investment decision.
The information and opinions contained in the Prospectus and any other information or opinions subsequently
provided in connection with the Offering are intended to assist potential Subscribers who wish to consider
participating in the Offering according to the terms and conditions stipulated in this Prospectus and in the
subscription form. Such information may not be published, duplicated, copied or disclosed in whole or in part or
otherwise used for any purpose other than in connection with the Offering without the prior written approval of
the Founders and the Joint Lead Managers.
This Prospectus is not intended to constitute a financial promotion, an offer, sale or delivery of shares or other
securities under the Dubai International Financial Centre ("DIFC") Markets Law (DIFC Law No. 12 of 2004, as
amended) ("Markets Law") or under the Markets Rules (Markets Rules) of the Dubai Financial Services
Authority ("DFSA"). The Offering and the Offer Shares and interests therein have not been approved or licensed
by the DFSA, and do not constitute an offer of securities in the DIFC in accordance with the Markets Law or the
Markets Rules.
The Offer Shares have not been approved or registered by any other regulatory authority in any other jurisdiction,
including the Securities and Exchange Commission of the US or any state securities commission of the US.
Therefore, the Offer Shares may not, directly or indirectly, be offered, sold, re-sold, transferred or delivered in the
US, or for the account or benefit of any US person (as defined under the US Securities Act of 1993) except in
certain transactions exempt from the registration requirements of federal and state securities laws of the US. In
addition, the Offer Shares may not be, and are not being, offered in the United Kingdom (UK) under the Public
Offers of Securities Regulations 1995. Persons coming into possession of this Prospectus are required to inform
themselves about, and to observe, any such restrictions.
Subject to the restrictions set out in the terms of the Offering below, the Offering will be open to GCC Subscribers
and non-GCC Subscribers provided that non-GCC ownership will be restricted to 49% of the share capital, as
stipulated in the Articles.

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FORWARD-LOOKING STATEMENTS AND PROJECTIONS


This Prospectus contains forward-looking statements, including statements about Companys beliefs and
expectations that are subject to inherent risks and uncertainties. All statements other than statements of historical
or current fact included in this Prospectus are forward-looking statements. Forward-looking statements express
the current assumptions, expectations and projections relating to industry trends and regional financial markets
and global economies and the condition, results of operations, plans, objectives, future performance and business
of the Company in the industry in which it will operate as well as expectations in relation to external conditions
and events relating to the Company and its operations and future performance. Prospective Subscribers can
identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. The
statements may include words such as anticipate, estimate, believe, project, plan, intend,
prospective, may, should, expect, continue, and other words and terms of similar meaning in
connection with any discussion of the timing or nature of future operating or financial performance or other
events.
The Prospectus includes a number of projections regarding the future performance of the Company, including
the following disclosures contained in the section THIRD: FINANCIAL INFORMATION ABOUT
AMANAT HOLDINGS. These projections are based upon a number of assumptions and estimates that, while
presented with numerical specificity, are inherently subject to significant business, economic and competitive
uncertainties and contingencies, including those relating to the healthcare and education sectors in the GCC, and
many of these uncertainties and contingencies are beyond the Companys control and are based upon specific
assumptions with respect to future business decisions, some of which will change. For additional information
regarding the projections, please see section SECOND: KEY DETAILS OF AMANAT HOLDINGS, point
3, Investment Risks.
As prospective Subscribers read and consider this Prospectus, they should understand that these statements are
not guarantees of future performance or results, and that they involve risks, uncertainties and assumptions.
Prospective Subscribers should be aware that many factors could affect the Companys actual financial condition
or results of operations and cause actual results to differ materially from those in the forward-looking statements.
These factors include, among other things, those discussed under the Risk Factors section of this Prospectus.
Because of these factors, prospective Subscribers are cautioned not to place reliance on any forward-looking
statements. Further, any forward-looking statement speaks only as of the date on which it is made. New risks and
uncertainties arise from time to time, and it is impossible to predict these events or how they may affect the
Company. There is no duty or intention to update or revise the forward-looking statements in this Prospectus
after the date thereof.

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TABLE OF CONTENTS
DEFINITIONS AND ABBREVIATIONS
FIRST:

SUBSCRIPTION TERMS AND CONDITIONS


1.
Key Details Of Shares Issued To The Public
2.
Subscription Restrictions
3.
Allotment Policy
4.
Timetable For Subscription And Listing
5.
Steps, Documents And Procedures Required For Subscription

SECOND:

KEY DETAILS OF AMANAT HOLDINGS


1.
Description of the Company
2.
Founders
3.
Investment Risks
4.
Reasons For The Offering
5.
Use Of Subscription Proceeds
6.
Subscription And Offering Costs

THIRD:

FINANCIAL INFORMATION ABOUT AMANAT HOLDINGS


1.
Sources And Uses Of Capital
2.
Summary Of Illustrative Projected Consolidated Financial Statements

FOURTH:

OTHER INFORMATION
1.
Administrative And Organizational Structure Of The Company
2.
Corporate Governance
3.
Board Competences And Responsibilities
4.
Board Committees
5.
Audit And Risk Committee
6.
Nomination And Remuneration Committee
7.
Compliance Officer
8.
Impact On National Products And New Technology
9.
Companys Proposed Management Structure
10.
Committees Emanating From The Board Competences And
Responsibilities Of Each And The Names Of Auditing Committee
Members
11.
Statement Of Direct And Indirect Ownership Of The Board And
Executive Directors In Amanat Holdings Share Capital
12.
Employee Incentive Programs
13.
Legal Matters
14.
DFM Overview

FIFTH:

ADVISORS UNDERTAKINGS CONCERNING THE PROSPECTUS

SIXTH:

ACKNOWLEDGMENTS ACCOMPANYING THE PROSPECTUS

SEVENTH:

ANNEXURE 1 MEMORANDUM AND ARTICLES OF ASSOCIATION


OF THE COMPANY

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DEFINITIONS AND ABBREVIATIONS (in alphabetical order)


DFM
Articles
Board
CDS
Closing Date
Companies Law
EIU
SCA
Founders and Lock-up Period

Amanat Holdings/Company
Joint Lead Managers
iVESTOR Card
Listing of Shares
Memorandum
Minimum Subscription
NIN
Offer Period
Offer Price
Offer Shares
Offering
Offering Costs

Dubai Financial Market.


Articles of association of the Company.
The Companys board of directors.
The Central Depositary System of DFM.
4 November 2014
Commercial Companies Law Number 8 of 1984, as amended, and its
executive resolutions.
Economist Intelligence Unit.
Securities and Commodities Authority.
Are the individuals and corporate entities the founders of the Company
and who have subscribed for 45% of the Companys Shares and who
have paid in full their subscription amounts with the Offering Costs.
As per applicable UAE laws, Shares held by the Founders amounting
to 45% of the issued share capital of the Company, which is fully paid
with the offering costs (as defined under section FOURTH: OTHER
INFORMATION, point 13, Legal Matters will be subject to a
mandatory lock-up period for two financial years extending from the
date of the incorporation of the Company until the end of the second
financial year following such incorporation. A Founder will not be
allowed to sell or transfer the Shares during such period, except to
another Founder(s).
Amanat Holdings, a public joint stock company under incorporation in
the UAE.
Joint Lead Managers in relation to this Offering.
A VISA pre-paid smart card issued for investors registered with DFM
and subject to the iVESTOR Card terms and conditions available on
the DFM website (www.dfm.ae).
Trading in the Shares on the DFM will be effected on an electronic
basis through the DFM Share Registry.
Memorandum of association of the Company.
Has the meaning described in section FIRST: SUBSCRIPTION
TERMS AND CONDITIONS, point 2, Subscription Restrictions, and set
as AED 5,000.
The National Investor Number provided on registration as a new
investor in DFM.
The Offering will commence on 20 October 2014, and is expected to
will close on 4 November 2014, inclusive.
AED 1.00 (one dirham) per Offer Share (with additional AED 0.02
offering costs per Offer Share payable in full upon subscription).
1,375,000,000 ordinary shares issued by the Company at the Offer
Price.
Initial public offering of 55% of the total shares of the Company.
In addition to the Offer Price of AED 1.00 (one dirham) per Offer
Share, offering issue costs in the amount of AED 0.02 per Offer Share
will be payable by the Subscribers for the Offer Shares.
The Offering Issue Costs payable by the Subscribers will be used
towards, inter alia: (i) the settlement of the costs of professional
advisors relating to the structuring and preparation of the Offering
including lawyers, auditors, consultants and financial advisors, and Joint
Lead Managers; (ii) the costs and fees associated with the solicitation,
distribution and processing of Offer Shares by, and the opening and
maintaining of bank accounts with, the Receiving Banks in connection
with the Offering; and (iii) other costs associated with the Offering,
including publishing, printing, advertising, mailing and postage costs.

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In the event the amount of the Offering Issue Costs exceeds the costs
actually incurred, the balance will be deposited in the Companys
account.

Ownership Restriction
PJSC
Prospectus
Receiving Banks

Shares
Subscribers

UAE
UK

In the event the amount of the Issue Offering Costs is not sufficient to
cover the costs actually incurred, the balance will be covered by the
Company.
A minimum of 51% of the Shares of the Company shall be held by
GCC nationals and/or legal entities wholly owned by such nationals.
Public joint stock company.
The prospectus which includes all information and data in respect of
the Company and mechanics and procedures of the Offering document
and its timeline.
The Receiving Banks are the following UAE banking institutions:
Emirates NBD PJSC, National Bank of Abu Dhabi PJSC, Dubai
Islamic Bank, Union National Bank, Finance House, Abu Dhabi
National Islamic Finance, Ajman Bank and Abu Dhabi Islamic Bank,
Emirates National Bank of Dubai and National Bank of Abu Dhabi
PJSC (as Lead Receiving Banks) and the following are the other
participating receiving banks: Abu Dhabi Commercial Bank, Union
National Bank and Dubai Islamic Bank. The Receiving Banks must
comply with the UAE Central Banks resolutions and circulars in
respect of granting loans and finance for acquiring companies shares,
which is set as 5-1 and will not be exceeded.
The Companys capital is comprised of two billion five hundred million
ordinary shares of AED 1 each (including the Offer Shares).
The Offering will be open to individuals and institutional Subscribers,
as described herein. The Founders are, after obtaining approval from
the Minister of Economy and the SCA, permitted to subscribe to the
unsubscribed Offer Shares.
United Arab Emirates.
United Kingdom of Great Britain and Northern Ireland.

FIRST: SUBSCRIPTION TERMS AND CONDITIONS


1.

Key Details Of Shares Issued To The Public


(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)

Name of the Company: Amanat Holdings (a public joint stock company under
incorporation).
Share capital: AED 2,500,000,000 (two billion five hundred million dirhams).
Nominal Share value: AED 1.00 (one dirham).
Number and type of the Offer Shares: 1,375,000,000 (One billion three hundred and
seventy five million) ordinary shares.
Offer price per Share: AED 1.00 (one dirham).
Issue costs per Share: AED 0.02
Percentage of the Offer Shares to Share capital: 55%.
Total value of the Offer Shares: AED 1,375,000,000 (One billion three hundred and
seventy five million dirham).
Statement of classes allotted to individuals, institutions and entities:

Please see section 2 (Subscription Restrictions) below for details in this regard.
(j)

Eligibility of the qualified classes to subscribe for the Offer Shares:

The Offering is of 55% of the Shares of the Company at an Offer Price of AED 1.00 (one dirham) per
Offer Share (with additional AED 0.02 Offering Costs). Prior to the Offering, there has been no public
market for the Shares. Following the Offering and the completion of the incorporation process, the
Company will list its Shares on DFM. The Shares have not been registered with any other regulatory
authority in any other jurisdiction. The Offering will be open to GCC and non-GCC individuals and
institutional Subscribers and to governmental authorities as described herein. If the Subscription Period
lapsed without all the Offer Shares being subscribed, the Founders may subscribe to the unsubscribed
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shares, as an exception from the provisions of Article 78 of the Companies Law and its amendments,
following obtaining the approval of the Minister of Economy and the competent authority.

Minors are permitted to subscribe in accordance with applicable laws and the procedures that
are required to be followed by the Receiving Banks.

Subscribers must hold a NIN and has a bank account number.

2. Subscription Restrictions
Public subscription for the Offer Shares is prohibited to the following:
(a)

Any Subscriber whose subscription is restricted by the laws of the jurisdiction where the
Subscriber resides or by the laws of the jurisdiction to which the Subscribers belongs. It is the
Subscribers responsibility to determine whether the Subscribers subscription conforms to the
laws of the applicable jurisdiction(s).

(b)

The Founders during the Subscription Period. However, if the Subscription Period lapsed
without all the Offer Shares being subscribed, the Founders may subscribe to the unsubscribed
shares following obtaining the approval of the Minister of Economy and the competent
authority.

(c)

Summary of allocation policy:


Tranche I Individuals and Institutions:
-

Size of Tranche (I): 1,306,250,000 shares.


Tranche (I) will be open to individual and institutional GCC and non-GCC Subscribers,
holding a NIN and a bank account number and who have submitted applications for a
minimum of 5,000 shares.
Subscription to any additional Shares in this Tranche will be in the multiples of 1,000
shares.

Tranche II, EIA:


-

(d)

Size of Tranche (II): 68,750,000 shares.


In accordance with Article 80 of the Companies Law and its amendments, the EIA shall
have the right to subscribe to the shares of any public joint stock company incorporated
in the UAE with a percentage not exceeding 5% of the Offer Shares. The allocation to the
EIA must be made prior to subscription and allocation to other subscribers.
In case the EIA does not subscribe for this tranche, this will be allocated to Tranche (I).

Method of payment: The subscription application, containing the Subscriber bank account
number and NIN, must be submitted to any of the Receiving Banks listed in this Prospectus,
together with the payment for the Shares subscribed for and, is to be paid in one of the
following ways:

Certified bank cheque drawn on a UAE bank in favor of Amanat Holdings (under
incorporation);

By debiting the customer accounts at the Receiving Bank and credit the subscription
account opened with the same Receiving Bank); or

Electronic Investments (please refer to the section on Electronic Investments below).

Neither the Company nor the Joint Lead Managers, nor the Founders, nor the Receiving Banks
shall assume liability for any applications paid by any method other than those described above.

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The subscription may not be paid using any of the following methods:

In cash; or

Cheque (not certified).

The Receiving Bank in which the subscription is made will issue to the Subscriber a subscription
receipt which the Subscriber has to keep until the Subscriber receives the allotment notice. The
subscription receipt, signed, and stamped by the Receiving Bank shall be considered as a receipt
for subscription. This receipt shall include the data of the Subscriber, address, number of shares
subscribed to, amount paid, details of the payment method, and date of subscription.
If the address of the Subscriber is not filled in correctly or legibly, the Joint Lead Managers, the
Receiving Banks and the Founders take no responsibility for non-receipt of such allotment.

Electronic investments

The DFM will make its official website (www.dfm.ae) available to Subscribers with a NIN
registered on the DFM website and holding a valid iVESTOR Card for them to submit their
electronic investments to the Receiving Banks. The Receiving Banks may also have their own
electronic channels (On-line internet banking applications, mobile banking applications, ATMs,
etc.,) interfaced with the DFM IPO system. By submitting the electronic investment form the
Subscriber submitting the application is accepting the Offering terms and conditions on behalf
of the Subscriber and is authorizing the iVESTOR Card issuing bank and the Receiving Bank
to pay the total investment amount by debiting the amount from the respective iVESTOR Card
or the bank account of the Subscriber and transferring the same to the subscription account
held at the Receiving Banks, as detailed in the Investment Application. The submission of an
electronic application will be deemed to be sufficient for the purposes of fulfilling the
identification requirements and accordingly, the supporting documentation in relations to
applications set out elsewhere in this document will not apply to electronic applications under
this section.
Neither the DFM, Company, Founders, Joint Lead Managers, Receiving Banks nor the
iVESTOR Card issuing bank shall in anyway be liable for the use of the electronic subscription
facility by the customer of the bank or the Subscriber, the debiting of the Subscriber account
of the Receiving Banks, nor the debiting of the iVESTOR Card by the iVESTOR Card issuing
bank, in respect of all and any losses or damages suffered, directly or indirectly as a result of
the electronic subscription facility and/or the iVESTOR Card.
With regard to electronic submission of Application via ATM or Internet Banking, the
customers accessing the ATM with their debit card and the internet banking with password as
is customary with electronic banking transaction will be deemed sufficient for the purpose of
identification and the documentation requirement will not be applicable.
The acknowledgement in the case of Electronic Applications via online internet banking and
ATM would provide basic information of the Application such as NIN number, Amount, Date,
Customer a/c. The mere acknowledgement of the application for subscription by the
Receiving Banks either through receiving bank counters or via electronic channels shall not
amount to acceptance of the application and may be rejected subsequently.
(e)

Use of Proceeds:
The Company will use the Offering proceeds in establishing and investing in companies and
enterprises working in the fields of educational and healthcare and managing, developing and
operating such companies and enterprises. The Company may participate or have an interest
in any manner in other companies, entities or institutions inside or outside the boundaries of
the United Arab Emirates which practice similar activities or to act as agent for these
companies, entities or institutions Section (1) of THIRD: Financial Information on the
Company outlines in details the targeted percentages of the Offering proceeds usage and the
timetable of the usage and the alternative policies.

- 12 -

(f)

Subscription period:
Commences on 20 October 2014 and ends on 4 November 2014

(g)

Receiving banks:
National Bank of Abu Dhabi PJSC, Emirates NBD PJSC, Dubai Islamic Bank, Union National
Bank, Finance House, Abu Dhabi National Islamic Finance, Ajman Bank and Abu Dhabi
Islamic Bank.

(h)

Method of allotment of different Subscriber classes: Allocation to subscribers and refund


of surplus amounts and associated Offering Costs and accrued interests thereof to subscribers
who are not allocated shares and, refund of subscription amounts, Offering Costs and interest
accrued thereof to subscribers whose applications were rejected must be made within 5
business days from the date of the closing of the Subscription Period, which correspond to the
date of 11 November 2014 at the latest. The refund of surplus amounts and interests accrued
thereof must be made to the bank account mentioned in the Subscription application.

(i)

Listing and trading of Shares:, The Shares of the Company will be listed on DFM on 29
November 2014

(j)

Voting rights: All Shares are of the same class and shall carry equal voting rights and shall rank
pari passu in all other rights and obligations.

(k)

Offering Costs: AED 0.02 per Share.

(l)

Names and addresses of proposed auditors: KPMG, Level 13, Boulevard Plaza Tower One,
Mohammad Bin Rashid Boulevard, PO Box 3800, Dubai, UAE.

(m)

Names and addresses of the Companys external advisors (legal, technical, marketing
etc.):

(n)
3.

Legal Advisor: Al Tamimi & Company, DIFC, building number 4, 6th floor, Dubai,
UAE.

Statement of the name of investor relations officer: Khaldoun Haj Hasan shall be the
Companys investor relations officer telephone number + 971 4 3289922.

Allotment Policy
The Offering of the Companys Shares is open to both UAE and GCC Subscribers and non-GCC
Subscribers, subject to GCC share ownership restrictions (51% GCC nationals and 49% non-GCC nationals).
In case of over-subscription of offered Shares, the Shares must be proportionately distributed to the
Subscribers without prejudice to the provisions of the provisions of Section 2(C). Allocation shall be to the
nearest complete share provided that none of the shareholders, as a result of the allocation, be deprived of
participating in the Company irrespective of the number of shares subscribed for. Allocation must be made
in compliance with the Companies Law and its amendments.

4.

Timetable for Subscription And Listing


The dates set out below outline the expected timetable for Offering. However, the Company may
change any of the Offering dates/times, or to extend the specified time periods upon obtaining the
approval of the SCA and publishing such amendment in daily newspapers. The number of days
allocated to subscription must not be less than (10) ten days in accordance with the provisions of
the Companies Law.
(a)

Subscription opening date:

20 October 2014

(b)

Subscription closing date:

4 November 2014

(c)

Allocation Notice and notice for allocation percentage to


subscribers
Refund of surplus amounts and dispatch of notices

11 November 2014

(d)

- 13 -

11 November 2014

5.

(e)

Constitutive General Assembly

13 November 2014

(f)

Date of Listing

29 November 2014

Steps, Documents and Procedures Required for Subscription


Subscribers shall submit the following documents along with their subscription applications:
Individuals who are UAE nationals
1.

The original and a copy of a valid passport copy or Emirates ID; and

2.

The Subscribers NIN and bank account number.

In case the signatory is different from the Subscriber:


a.

The duly notarized power of attorney held by that signatory or a certified copy by one of the
following UAE regulated persons / bodies: a notary public or as otherwise duly regulated in
the country;

b.

The original passport of the signatory for verification of their signature and a copy of the
original passport; and

c.

The items specified in 1 and 2 above in respect of the Subscriber.

Individuals who are GCC Nationals or National of any Country


1.

The original and a copy of a valid passport copy;

2.

The Subscribers NIN and bank account number; and

2.

In case the signatory is different from the Subscriber:


a.

The duly notarized power of attorney held by that signatory or a certified copy by one of the
following UAE regulated persons / bodies: a notary public or as otherwise duly regulated in
the country;

b)

The original passport of the signatory for verification of their signature and a copy of the
original passport; and

c)

The items specified in 1 above in respect of the Subscriber

For Companies and Sole proprietorships


1.

The original and a copy of a trade license or commercial registration for verification or a certified copy
by one of the following UAE regulated persons / bodies: a notary public or as otherwise duly regulated
in the country;

2.

The original and a copy of the document that authorize the signatory to sign on behalf of the subscriber
and to represent the Subscriber, to submit the application, and to accept the terms and conditions
stipulated in the prospectus and in the subscription form; and

3.

The original and a copy of the passport of the signatory.

Eligibility for Subscription


Subscription for the Offer Shares is available to all investors, provided that the GCC national shareholding
shall not be less than (51%) fifty one per cent and the non-GCC shareholding shall not exceed (49%) forty
nine per cent of Amanat Holdings capital.

- 14 -

Public subscription to the Shares is restricted to the following:


-

Individuals who are citizens of the UAE, GCC or any other country (with the exception of US
Persons within the meaning under the Securities Act of 1933, as amended). Minors are permitted
to subscribe in accordance with the procedures applied by the Receiving Banks and the laws in
force in this regard;

Sole proprietorships and companies owned by citizens of the UAE, the GCC, or any other country
regardless of the nationality of these entities, with the exception of US Persons (within the meaning
under the Securities Act of 1933, as amended); and

Public bodies and authorities of the Federal government of the UAE or any one of the Emirates
or any country within the GCC or any other country; according to the terms and conditions set
forth in this Prospectus.

Subscribers must complete the application form, providing all required details. Subscribers who do not
provide the valid NIN and bank account number will not be eligible for investment and will not be allocated
any Offer Shares.
The Founders will notify Subscribers in writing of their Offer Share allocation on the date of allotment. The
notices will be made available through registered mail, and the oversubscription amounts and their returns
will be refunded within 5 working days from the date of closing of the Subscription Period.
Upon listing of the Shares on the DFM the Founders will replace allotment notices and share certificates by
an electronic system as applicable in the DFM. The information contained in this electronic system will be
binding and irrevocable, unless otherwise specified in the applicable rules and procedures governing the
DFM.

SECOND: KEY DETAILS OF AMANAT HOLDINGS


1.

Name of the Company: Amanat Holding PJSC (Public Joint Stock Company under incorporation in the
UAE).

2.

Main Objectives of the Company: Incorporate and investing in healthcare and educational enterprises
inside and outside the UAE.

3.

Description of the Company: The Company was incorporated to incorporate and invest in healthcare and
educational companies in the GCC and managing, developing and operating such companies and
enterprises. The Company may participate or have an interest in any manner in other companies, entities or
institutions inside or outside the boundaries of the United Arab Emirates which practice similar activities or
to act as agent for these companies, entities or institutions.

4.

Headquarters and Branches: City of Dubai in the Emirate of Dubai; and the Board of Directors may
establish branches, offices and agencies of the Company in any other location inside the UAE and inside
and outside the GCC.

5.

Duration of the Company and its Financial Year: the duration of the Company shall be 99 years and
the Companys financial year shall start on the 1st of January and ends on the 31st of December of each
year, except for the first financial year which will start on the issuance of the Ministerial Resolution
declaring the incorporation of the Company and end on the 31 st of December of the following year.

6.

Capital
a-

Capital before the Offering

Prior to the offering, the Founders subscribed for 1,125,000,000 shares with a fully paid value of AED
1,125,000,000 in addition to the Offering Costs which were fully paid.

- 15 -

b- Capital after the Offering


Following the Offering, the capital will comprise of 2,500,000,000 shares with a fully paid value of AED
2,500,000,000 in addition to the Offering Costs. The Offer Shares amounts to 55% of the share capital of
the Company and the Founders Shares amounts to 45% of the share capital of the Company.
7.

Founders

1. Rimco Investments (L.L.C.)

AED
millions
250

2. Osool Asset Management BSC Closed

250

Bahrain

10.00%

3. United Alsaqer Group LLC

125

UAE

5.00%

4. Astro AD Cayman Ltd.

125

Cayman Islands

5.00%

5. Capital Investment - LLC

100

UAE

4.00%

6. Abhaar International LLC

50

UAE

2.00%

7. Ithmar Capital Holdings Limited

40

Cayman Islands

1.6%

8. Badad International Company

30

KSA

1.2%

9. Al Nasser Holding Company

20

UAE

0.80%

10. AlAbdulKarim, Sami AbdulKarim A

20

KSA

0.80%

11. Kassem Alom Zarzur

20

Spain

0.80%

12. Yusuffali Musaliyam Veettil Abdul Kader

India

0.40%

13. Abdulmajid Abdulhamid Dhia Jafar

10
10

UAE

0.40%

14. Alomran, Khalid Abdulrahman M

10

KSA

0.40%

15. AlArdi, Mishal Saleh S

10

KSA

0.40%

16. Ahmed Habib Ahmed Kassim

Bahrain

0.32%

17. Siddiq Mohamed Hussain AlKhoori

UAE

0.20%

18. Desax Properties Limited

BVI

0.20%

19. AbdulJalil Yousuf AbdulKarim Darwish

UAE

0.20%

20. Michael Pacha

France

0.20%

21. Golden Desert Investment LLC

UAE

0.20%

22. Nizar Badeh Rajoub

Canada

0.12%

23. Abubaker Seddiq Mohamed Hussain AlKhoori

UAE

0.08%

24. AlDereyaan, AlWaleed AbdulRazaq S

KSA

0.08%

25. Khaled Abdulla Neamat Mohamed AlKhoori

UAE

0.08%

26. Hamad Mohamed Muftah AlShamsi

UAE

0.08%

27. H.E. Dr. Sultan Ahmed Sultan Al Jaber

UAE

0.04%

28. Al Ain Capital LLC

UAE

0.04%

29. Magna Investment - LLC

UAE

0.04%

30. Murshed Thani Murshed Ghanam AlRemeithi

UAE

0.04%

31. Hameem Investment LLC

UAE

32. Qusai Moh'd Ahmed AlGhussein

Jordan

0.04%
0.04%

33. Fatema Amer Alhbabi

UAE

0.04%

34. AbdulHamied Ahmed Qassim Seddiqi

UAE

0.04%

35. Naim Mohammad Mustafa AlRadi

Jordan

0.04%

36. Ruya Ltd

BVI

0.04%

37. Al Mal Capital (P.S.C)

UAE

0.04%

# Name

Total

1,125
- 16 -

Nationality

Ownership

UAE

10.00%

45.0%

The Founders have subscribed to 1,125,000,000 of the Company's shares, representing 45% of the
Company's capital at a price of one dirham per share, which have been fully paid up, including the applicable
Offering Costs.
8.

Founders committee
The Founders have elected a committee (Founders Committee) to take all necessary steps and actions
on their behalf or on behalf of the Company and to complete all required procedures with respect to the
Offering, including dealing with the relevant authorities.
The Founders Committee is comprised of the following three members:
Mr. Faisal Bin Juma Belhoul Chairman;
Mr. Abu Baker Khouri Member; and
Mr. Khaldoun Haj Hasan Member.
The Founders Committee has already taken certain actions consistent with their rights and obligations
pursuant to applicable law and existing practice in order to, inter alia, incorporate Amanat Holdings and
appoint advisors in connection with the Offering.

9.

Board
The Founders have appointed the first Board, which will comprise the following individuals:

Mr. Faisal Bin Juma Belhoul Chairman- UAE National;

Sheikh/ Abdulla Khalifa Al Khalifa - Non Executive Board Member- Bahrain Ntaional ;

Mr. Abdulmonem Rashed A. AlRashed Non Executive Director of the Board- KSA National

Sheikh/ Zayed Bin Mohamed Bin Butti Al Hamed- Non Executive Independent Board Member- UAE
National;

Mr. Kamal Bahamdan - Non Executive Independent Board Member- KSA National;

Dr. AbdulMajeed Saif Mohamed Ameen Alkhajeh - Non Executive Independent Board Member- UAE
National; and

Mr. Khalfan Bin Juma Belhoul Non Executive Independent Board Member - UAE National;

The Companys Shareholders shall deliberate during the constitutive general assembly to be convened
pursuant to the Offering, on the appointment of the first Board for a term of 3 (three) years.
10.

Dividend policy
Holders of the Shares will be entitled to receive dividends declared in respect of the first financial year, if any,
and subsequent financial years, if any.
The Company intends to declare and distribute annual dividends with a view to maximizing shareholder value
commensurate with the ongoing working capital, capital expenditure and funding requirements of the
Company.
Subject to the Articles and applicable laws, any decision to pay dividends to shareholders and the amount of
such dividends will be upon the recommendation of the Board. The amount of any dividends may vary from
year to year.

- 17 -

11.

Synopsis of the sector in which Amanat Holdings will operate


The Company believes that the GCC Healthcare and Education Sectors present attractive opportunities
supported by favorable long-term fundamentals, attractive growth profiles and similar value creation
opportunities / strategies.
i.

Favorable Long-term Fundamentals

Demand for healthcare services in the GCC is projected to steadily increase driven by demographic growth,
a gradually aging population, robust macroeconomic conditions, increased prevalence of chronic / lifestyle
diseases, and the gradual introduction of mandatory insurance in some countries (e.g. UAE Dubai). As a
result, healthcare spending in the GCC is expected to increase from USD 47 billion in 2011 to USD 86 billion
by 2017, growing at a compound annual growth rate (CAGR) of 10.7% over the stated period (Source: World
Health Organization WHO, Economist Intelligence Unit Healthcare Reports EIU, Business Monitor International
Healthcare Reports BMI). Whilst GCC governments play a large role in the provisioning of care, the private
sector is expected to outgrow the overall market due to a combination of favorable regulations, large capacity
gaps, and the need for better quality of care, service, and access.
Similarly, demand for education in the GCC is projected to grow driven by a growing and disproportionately
younger population, an increasingly knowledge based economy by virtue of diversification efforts as well as
job creation initiatives by GCC policy makers requiring greater investment in higher education programs.
Such growth drivers are expected to boost student enrollment figures in the GCC from 9.3 million in 2012
to 13.9 million by 2020, growing at a CAGR of 5.2% over the stated period. Within Education, the private
sector is outpacing the overall market growth, as student enrollments are expected to grow at a CAGR of
10.5% over the period 2012 to 2020 driven by a flight to higher-quality programs and an increased government
support of private sector involvement through easing regulations (Source: GCC Countries Ministries of Education
MoE and Ministries of Higher Education MoHE).
ii.

Attractive Sector Profiles

The Healthcare and Education Sectors share significant similarities between them that make them attractive
Sectors:

Non-cyclical Sectors:
Given that both Sectors provide a basic need, they are typically less exposed to economic cycle
fluctuations (e.g. downturn).

Undersupplied Sectors:
Both Sectors exhibit a gap in capacity and quality of service provisioning.
In the Healthcare Sector, capacity gaps are exhibited by low current hospital bed capacity compared
to mature markets (1.3 beds 2.6 beds/1,000 capita across the GCC, vs. 4.8 in OECD countries in
2011 Source: Organization for Economic Co-operation and Development OECD, WHO) and government
targets to increase bed capacity (example provided for KSA in Investment Opportunities in the GCC
Healthcare Sector). In terms of quality gaps, this is demonstrated by a combination of healthcare
system indicators including shorter life expectancy (e.g. 76 years in the UAE and KSA vs. 79 US, 80
UK, 82 France in 2011 Source: WHO), higher rate of non-communicable diseases (340-550 deaths
from such diseases per 100,000 female population across the GCC, vs. 326 US, 309 UK and 225
France in 2011 Source: WHO), and a significant proportion of the population seeking healthcare
treatment abroad (e.g. UAE healthcare treatment abroad is estimated at USD 2 billion annually,
which is almost 20% of the total UAE healthcare spending in 2011 Source: EIU).
In the Education Sector, the gap is more around quality as GCC countries significantly lag behind
more mature education markets in performance on international student assessments, reflecting the

- 18 -

lower quality of education (e.g. TIMSS 1 average country Grade 8 Mathematics Achievement score
of 366-456 across GCC vs. 507 in UK, 509 USA, and 611 Singapore in 2012 Source: TIMSS).
iii. Similar Value Creation Opportunities / Strategies
Driven by strong growth, projected supply-demand gaps, and a value proposition focused on
quality, both Sectors have relatively similar value creation opportunities. To capture these
opportunities the Company will follow a similar approach of introducing operational
improvements to enhance the quality and increase the volume of existing services, then broaden
the service offering through capacity and service offering expansion, before seeking external
opportunities such as consolidation through mergers and acquisitions.
iv. Opportunities in the GCC Healthcare Sector
Amanat Holdings has prioritized the UAE and KSA healthcare markets to develop and operate companies
that deliver healthcare services to patients (Provider Subsector) given the subsectors relatively large
market sizes, existing and future supply / demand gaps, regulations favorable to private sector participation
and abundance of opportunities to incubate and develop.
While healthcare markets across the GCC are expected to grow, the UAE and KSA are expected to remain
the largest markets in the region (~80% of GCC healthcare spend), making them initial focus markets among
GCC countries (Exhibit 2.1.1).
Exhibit 2.1.1: GCC Healthcare Spend by Country (USD Bn (%), 2011-2017F)

Source: World Bank, EIU, BMI


-

Healthcare spending in the UAE is expected to be driven by:


-

population growth driven by high birth rate and economic growth leading to
immigration;
high prevalence of chronic diseases; and
roll-out of mandatory healthcare insurance across the UAE.

In addition, given 1.9 beds per 1,000 capita in 2011, far below that of the OECD average of 4.8 beds per
1,000 capita the market is under-supplied when viewed in context of expected growth discussed above.
The KSA Provider Subsector is projected to grow from USD 24.8 billion in 2011 to USD 44.6 billion by
2017, representing a CAGR of 10.4%.
-

Healthcare spending in the KSA is expected to be driven by:


-

population growth driven by high birth rate; gradual ageing of the population and
economic growth leading to immigration;

1TIMSS:

Trends in International Mathematics and Science Study measures trends in mathematics and science achievement at the fourth
and eighth grades.

- 19 -

high prevalence of chronic diseases.

However, given 2.1 beds per 1,000 capita in 2012, far below that of OECD average of 4.8 beds
per 1,000 capita the market is under-supplied when viewed in context of expected growth
discussed above. The MoH is targeting ratio of 3.5 beds per 1,000 capital by 2020 of which the
MoH will add bed capacity of 35,000 to achieve a ratio of 2.5 beds per 1,000 leaving the balance
as market opportunity for the private sector to address (Source: KSA MoH, WHO, OECD).
v.

Opportunities in the GCC Education Sector

The Company has initially prioritized the UAE and KSA to develop and operate companies that deliver
education programs to students (Education Delivery Subsector) in K-12 and Higher Education segments
given strong growth drivers, large student age population and number of opportunities to incubate and
develop.
While K-12 and higher education enrollments are expected to grow across the GCC, the UAE and the KSA
represent initial focus markets given their combined size (comprise greater than 80% of the market in each
of K-12 and higher education) and strong expected growth outlook (Exhibit 2.1.2).
Exhibit 2.1.2: Student Enrollments across GCC K-12 and Higher Education Markets

Source: Relevant MoE and MoHE, Relevant National Statistics Bureaus


vi. K-12
The UAE K-12 market is expected to grow from 854,000 student enrollments in 2012 to 1.3 million in 2020,
at a CAGR of 5.7% over the period. The private sector is expected to grow at a rate faster than for the market
as a whole, with a forecasted growth rate of 8.6% over the same period (Source: Dubai Statistics Centre, Statistics
Centre of Abu Dhabi, UAE National Bureau of Statistics, UNESCO education database).
The KSA K-12 market is expected to grow from 5.5 million student enrollments in 2012 to 6.9 million student
enrollments in 2020, at a CAGR of 3.0% over the period. The private sector is expected to grow at a rate
faster than for the market as a whole, with a forecasted growth rate of 10.0% over the same period (Source:
KSA MoE).
vii. Higher Education
The UAE Higher Education market is expected to grow from 110,000student enrollments in 2012 to 208,000
in 2020, at a CAGR of 8.3% over the period. The private sector is expected to grow at a rate faster than for
- 20 -

the market as a whole, with a forecasted growth rate of 9.8% over the same period (Source: UAE MoHE,
UAE Centre for Higher Education Data and Statistics, UAE National Bureau of Statistics).
The KSA Higher Education market is expected to grow from 1.1 million student enrollments in 2012 to
3.4 million in 2020, at a CAGR of 14.9% over the period. The private sector is expected to grow at a rate
faster than for the total market as a whole, with a forecasted growth rate of 31.5% over the same period
(Source: MoHE).
-

The regulatory landscape is transparent but the regulator involvement is greater:


-

Student enrollment is expected to be driven by:


-

12.

clear licensing guidelines via the MoHE;


joint approach whereby by the MoHE approves governance and management structure,
places representatives on the Council of Trustees (main academic related governing body
of an university), evaluates and approves syllabi and changes or additions in program
offerings; and
drive towards quality via accreditation.

population growth driven by high birth rate and economic growth leading to immigration;
and
access to accredited universities providing students local alternatives to study abroad
alternatives.

Amanat Holdings strategy and future vision of growth and progress:

Amanat Holdings vision is to be the partner of choice for (i) public-private-partnerships targeting increased
access to and improved quality of healthcare and education services;(ii) companies in the healthcare and
education markets in the GCC seeking both capital and expertise to realize their full potential as well as (iii)
investors who wish to seek efficient exposure to the Sectors. (see Value Creation below).
viii.

Strategy
To emerge as a healthcare and education development and management company, the Company will
employ the following approach:
Platform Companies: Partner with established, growing and cash-flow positive companies that when
coupled with the expertise of and capital from Amanat will emerge as industry leading competitors.
Platform Companies represent the core of the Companys corporate strategy and will thus account for
approximately 70% of the Companys Capital Expenditure Program. The Company expects investing
the capital reserved for the Platform Companies within a period of two years. In the event of lack of
feasible opportunities to venture with already established companies within this period, the Company
will establish new enterprises in the healthcare and education sectors in the GCC which will aim to
provide services that will participate in filling the gaps in both the capacity and the quality.
Social Infrastructure Projects: Develop and fund ongoing expansion projects of Platform Companies
including public private partnerships, subject to market-based long-term leases (whereby the Company
secures real estate concessions and the Platform Companies undertake their operations). Social
Infrastructure Projects will account for approximately 25% of the Companys Capital Expenditure
Program. The Company expects investing the capital reserved for the Social Infrastructure Projects
within a period of three years. In the event of lack of feasible opportunities within this period, the
Company will use the funds that were expected to be used in establishing new enterprises similar to
the Platform Companies or Corporate Ventures or expanding the existing enterprises at that time in
the healthcare and education sectors in the GCC.
Corporate Ventures: Conceptualize, develop and establish partnerships based on proven business
models and IP to address quality or supply gaps in the Sectors. The technical, operational or
management know-how will be obtained through partnerships with leading international providers
whose business models are transferrable to the GCC. Where possible, Corporate Ventures will be
integrated into Platform Companies to reduce execution risk as well as capital requirements. By nature
of such companies being asset light, the Company will allocate approximately 5% of its Capital
- 21 -

Expenditure Program. The Company expects investing the capital reserved for the Corporate Ventures
within a period of two years.
The Company may not enter into transactions with related parties that equals or exceed in value (10%)
of the total asset value of the Company as stated in the last interim or yearly financial results except
following the approval of the Board and the Shareholders General Assembly. The related party may
not vote on the subject either in the Board or the Shareholders General Assembly. Further, the
Company may not enter into transactions, acquisitions, partnership in existing companies, purchase of
assets or providing capital for existing companies with third parties (not related parties)if such
transactions equals or exceeds in value (25%) of the capital of the Company, except after undertaking
a fair valuation on all such transaction and with the collaboration of the SCA. The Companys
management confirms its compliance with legislations requirements and current and future guidelines
of the SCA and any other competent authority in this respect.
Where possible, Platform Companies, Social Infrastructure Projects, and Corporate Ventures will be
integrated to derive maximum value and create a compelling source of accelerated development and
competitive differentiation. See below (Exhibit 2.1.3).
Exhibit 2.1.3: Integration Across Business Areas

- 22 -

ix.

Value Creation Approach


The focus will be on three areas: corporate governance, corporate strategy and corporate finance. The
Company intends to organize a committee around each of the three areas at the subsidiary level. Each
committee shall be comprised of representatives of the subsidiarys management and the Company who
will then develop, implement and monitor initiatives within each area. The objectives of the committees
are outlined below (Exhibit 2.1.4):
Exhibit 2.1.4.: The Companys Value Creation Governance Model

As a consequence of the Companys strategy, a further value creation opportunity exists through the
integration of Subsidiaries where possible. While each subsidiary will pursue its corporate strategy
independently, the Company will oversee the overall integration of Platform Companies with Corporate
Ventures and Social Infrastructure Projects to drive further growth and synergies in the Group.
The Company will launch Corporate Ventures to address identified quality or supply gaps while ensuring
that the business case on a standalone basis is profitable. Additionally, Amanat Holdings will seek to link
the Corporate Venture to the Platform Company deriving two way synergies: for the Corporate Venture,
access to the Platform Company limits the downside risk by sharing resources, industry contacts, and serving
as a launching pad, while for the Platform Company, access to the venture service offering will either drive
volume growth through referrals or improve margins by increasing scalability and pooling staff costs.
Similarly, Social Infrastructure Projects will unlock value and benefit both the Platform Company and the
Social Infrastructure investment. For the Social Infrastructure Projects, access to the Platform Company
will provide a captive company with low payment risk and a steady pipeline of expansion projects, whereas
for the Platform Company, offloading non-core real estate assets will free-up capital and enable it to direct
resources to core operations. Moreover, splitting the real estates recurring long-term revenue stream from
remaining operations will decrease the cost of borrowing, unlocking additional value for the Company.
The below section (Operational Framework) highlights the relationship between the Group and each
of the subsidiaries.
x.

Operational Framework:
The responsibility of the Group management team, in addition to statutory requirements and board
directives, is as follows:
Develop and implement a board approved strategy for the Group overall
Partnership with GCC based companies in need of expansion capital and knowledge based resources in
order to accelerate growth, deliver access and quality services and ensure sustainable differentiation
Development of real estate projects such as hospitals, clinics, education facilities and related infrastructure
for the benefit of Platform Companies
Public private partnerships on a turn-key basis from development of real estate assets to operations and
management
- 23 -

Joint ventures or alliances with international corporate who bring know-how to solve either capacity or
quality gap at the local level
Develop and implement a board approved strategy for each group company
Ensure quality of earnings and achieve financial and operational targets as set forth in annual budget of
the Group
Proactive implementation of solutions to challenges and opportunities created by market, regulatory and
competitive forces
Risk management
Social responsibility
Each initiative of the Group will be executed and managed as follows:
Each initiative be it a greenfield set up of a healthcare or education facility or a partnership with an
existing company through provision of capital and knowledge resources is operated through a subsidiary
The subsidiary operating team will be overseen by the Groups management team
Integrated in a structured way via committees and where necessary directly with the operating team of
each subsidiary (see below organogram of the a typical healthcare operator, K-12 operator and a high
education operator)
Certain functions consolidated at the Group level
IR, Legal, Strategy, and Property Development
Need for full-time resources at the subsidiary level is of limited utility
Ensure best practices, up-to-date knowledge and insight, quality of resources and execution excellence
Competitive advantage via economies of scale, knowledge and cross fertilization of ideas
In order for the management of the Group to deliver at the Group level, it has to be able to do so at the
subsidiary level.
Accordingly, the Groups management has the authority and responsibility to drive proactively the
performance of each subsidiary
The Groups management and the operating team of the subsidiary will manage key day to day matters
impacting governance, strategy and finance
Delivery of corporate strategy
Annual financial and operating budget
Risk management
13.

Strengths, competitive advantages and challenges that Amanat Holdings is encountering:


A summary of Amanat Holdings Strengths, Weaknesses, Opportunities and Threats is presented below:

i.

Strengths

ii.

Experienced and well-integrated team with deep sector knowledge and expertise, particularly with listed
companies
Large direct and indirect network of contacts to source proprietary partnering opportunities
Value creation strategy relevant to address challenges and opportunities in the Sectors
Permanent capital facilitates operations for the long-term with no pressure for immediate gains to facilitate
investment exit
Public listing providing liquidity to shareholders

Weaknesses

Significant liquidity will require steady deployment to ensure return on equity is not compromised.

iii. Opportunities

Limited number of listed companies in Healthcare and Education in the region


- 24 -

High growth sectors with continued fragmentation in terms of service providers in healthcare and
education
Shift in government sentiment focusing on greater inclusion of private sector to bridge the gap in
healthcare provisioning and education delivery

iv. Threats

Though the sectors are not cyclical, a drop in GCC economic growth could constrain growth
GCC is dependent on imported manpower and as such faces challenges in recruitment and retention
Rapid technological advancements require companies to adapt to stay relevant
Sectors are regulated and any tightening could lead to operational and financial performance challenges
The Sectors remain attractive and though the barriers to entry are high, competition is likely to remain
robust

14. Investment Risks


An investment in the Offer Shares may be subject to a number of risks. Before deciding whether to invest in
the Offer Shares, prospective Subscribers should carefully consider and evaluate the risks inherent in Amanat
Holdings proposed business, including the risks described below, together with all other information contained
in this Prospectus. Such risks could have an adverse effect on Amanat Holdings business and financial
condition or results. In such case, a Subscriber could lose all or part of his or her investment. Additional risks
and uncertainties may also have an adverse effect on Amanat Holdings proposed business.
It should be noted that the following risk factors are not comprehensive, as additional risks and uncertainties
not presently known or that Amanat Holdings currently believes to be immaterial may also have an impact on
Amanat Holdings and its operations. If any of these uncertainties develop into an actual event, Amanat
Holdings operations and actual results could differ materially from the financial projections contained in this
Prospectus.
It should also be noted that the Company intends to undertake steps and/or measures necessary in order to
mitigate the risks referred to below (apart from those that may be caused by factors that are beyond Amanat
Holdings control, including, in particular, factors of a political and economic nature). Nevertheless, Subscribers
should carefully read the risks described below.
Prospective Subscribers should consider carefully whether an investment in the Offer Shares is suitable for
them in light of the information in this Prospectus and their personal circumstances.
(a) Risk Factors Relating to Investing in the Company
i.

No Track Record
Due to the start-up nature of the Company it does not yet have an established track record. Its prospects and
the projections included in this document should be considered in the light of the risks associated with
companies in general in their early stages of growth. Accordingly, any investment in the Company carries with
it the usual risks associated with investing in the early stages of development of a new business. The Company's
planned growth will place additional demand on its management, administrative and technological resources.
If the Company is unable to manage its growth effectively, it could adversely affect its business, financial
condition, results of operations or prospects.

ii.

Dependence on Key Personnel


Amanat Holdings business is managed and its business strategies formulated and implemented, by a relatively
small number of key executive officers and other personnel. The loss of these key personnel could have a
material adverse effect on its business, financial condition, results of operations or prospects.

- 25 -

iii. The Companys actual operating results and other events may differ significantly from the projections included
in the Prospectus
The Prospectus includes a number of projections regarding the future performance of the Company, including
the following disclosures contained in the section Third: Financial Information About Amanat
Holdings.
The projections contained in this document are based upon a number of material assumptions and estimates
that, while presented with numerical specificity, are inherently subject to significant business, economic and
competitive uncertainties and contingencies, many of which are beyond the Companys control and are based
upon specific assumptions with respect to future business decisions, some of which will change.
Projections are necessarily speculative in nature, and it can be expected that some or all of the assumptions and
estimates relating to the projections included in the document will not materialize or will vary significantly from
actual results. Accordingly, the projections are only an estimate of what the Company believes is realizable as
of the date of release. Actual results will vary from the projections and the variations may be material.
Subscribers should also recognize that the reliability of any forecasted financial data diminishes the farther in
the future that the data is projected. In light of the foregoing, investors are urged not to rely upon, or otherwise
consider, the Companys projections in making investment decisions in respect of the Companys.
Any failure to successfully implement the Companys corporate strategy, the failure of some or all of the
assumptions and estimates relating to the projections or the occurrence of any of the adverse events or
circumstances described in the Risk Factors section of this document could result in the Companys actual
operating results and other events being different from the projections, and such differences may be adverse
and material.
(b) Risks Common to Healthcare and Education Industries
i.

The performance of the future Subsidiaries of the Company will depend on the ability of the Company and
its future subsidiaries to recruit and retain high quality skilled professionals
Companies in the Sectors depend on the number, efforts, ability and experience of skilled professionals. The
process of hiring staff with the combination of skills and attributes required to implement the business
strategies of the Company and its future Subsidiaries can be difficult and time-consuming. Operators face
competition in attracting and retaining staff who possess the necessary experience and accreditati on. If the
future Subsidiaries of the Company experience loss of a significant number of professionals or are unable to
attract or retain sufficient number of required skilled professionals, then such events could have a material
adverse effect on their business, financial condition, results of operations or prospects.

ii.

Changes in laws and regulations may materially adversely affect the Company and the future Subsidiaries of
the Company
The Sectors are subject to laws, rules and regulations. These regulations include licensing and accreditations,
and various federal and local environmental, health and safety laws and regulations. Regulations constantly
evolve, and the Company is unable to predict the future course of regulations.
Operators in the Sectors are subject to extensive licensing requirements and to regular reviews by licensing
authorities. If any licensing requirements are not met, the authorities may suspend or revoke licenses or impose
other restrictions on operators. In addition, these licensing requirements are complex, which gives rise to
compliance risks, and unpredictable what new licensing requirements, if any, will be implemented or the effect
such licensing requirements may have on operators. To maintain their accreditations and permits, operators
must meet standards related to, among other things, performance, governance, institutional integrity, quality,
staff, administrative capability, resources and financial stability.

iii. Future Subsidiaries of the Company face competition from other operators, which may result in a decline in
their revenues, profitability and market share
The Sectors are competitive given the large number of operators, fragmentation notwithstanding. Competition
is principally on the basis of reputation, value proposition and customer care. Customers are free to choose
any operator for their needs and in certain situations and countries, regulators have or are beginning to rate
operators on the basis of quality. This transparency along with market forces dictate that operators need to
think about positioning and value proposition ahead of profit maximization in the short-term to remain
- 26 -

competitively viable. Operators also face competition from other operators in their catchment locations and
sometimes nationally and internationally. Some of these existing and potential competitors may be able to
devote greater resources than companies we partner with can to the development and construction of facilities
offering quality services and respond more quickly to changes in demands, standards, market needs or new
technologies. If operators are unable to differentiate their value proposition from those of their competitors
and successfully market their services, they could face competitive pressures that reduce volume, put pricing
pressure or increase spending to attract and retain volume. Any of these events, should they happen to future
Subsidiaries of the Company could have a material adverse effect on their business, financial condition,
prospects and results of operations.
iv. Operators in the Sectors are highly dependent on information systems and any failure to update or upgrade
these systems in a timely manner could be damaging to the future Subsidiaries of the Company
Information systems are essential to a number of critical areas of business operations. Any system failure that
causes an interruption in service or availability could materially adversely affect operations. Computer servers
are potentially vulnerable to computer viruses, break-ins and similar disruptions from unauthorized tampering.
The occurrence of any of these events could result in interruptions, delays, the loss or corruption of data, or
unavailability of systems, and may result in liability as a result of any theft or misuse of personal information
stored. Any of these events, should they happen to future Subsidiaries of the Company could have a material
adverse effect on their business, financial condition, prospects and results of operations.
(g) Risks Relating to the Healthcare Industry
i.

Ensuring strong prospects for growth and enhancement of reputation are a function of continual upgrade of
healthcare delivery facilities with the most recent technological advances in information technology, diagnostic
and surgical equipment
Technological advances in the medical field continue to evolve rapidly. In order to compete with other
healthcare providers for doctors and patients, future Subsidiaries of the Company must continually assess
their equipment needs and upgrade equipment as a result of technological improvements. Such equipment
costs represent significant capital expenditure. Rapid technological advances could also, at times, lead to
earlier-than-planned redundancy of equipment and result in asset impairment charges. Inability of the future
Subsidiaries of the Company to invest appropriately could have a material adverse effect on their business,
financial condition, prospects and results of operations.

ii.

Revenues for healthcare operators may come from a relatively small number of payors
Operators generally negotiate on an annual basis with insurance companies, corporate clients and/or
governments regarding the fees or pricing arrangements to be paid to them for services provided.
Operators may face downward pressure on some of the payment rates from these payors in face of
increased competition and/or bargaining power. Operators may also be unable to effectively pass on
any increases in their cost base to the tariffs paid. Future success of operators depends, in part, on
their ability to maintain good relationships with payors. Operators are also exposed to the risk that
payors reject, delay or fail to make payment for claims submitted for medical services rendered to
patients claiming coverage under such schemes. Inability of the future Subsidiaries of the Company to
address the issues noted, could have a material adverse effect on their business, financial condition,
results of operations or prospects.

iii. Quality of services provided by healthcare operators is essential to preservation of brand or reputation
Patients tend to select their healthcare providers based upon brand recognition and reputation thus providing
high quality healthcare (e.g. medical care, facilities and related services) is essential. If companies are unable
to provide high quality services to patients, fail to maintain a high level of patient satisfaction or experience
a high rate of mortality or medical malpractice suits, their brand or reputation could be damaged. Any
significant damage to reputation and/or brand value of future subsidiaries of the Company caused by any of
the foregoing factors could have a material adverse effect on their business, financial condition, results of
operations or prospects.

- 27 -

iv. Economic and seasonal variations and challenges that affect the GCC healthcare industry affect healthcare
operators
Healthcare operators are impacted by economic and seasonal variations in patient volumes caused by a
number of external factors. In particular, patient volumes and revenue are affected by the summe r holidays,
which fall in the second half of the year, and the month of Ramadan, which in recent years has also fallen
within the second half of the year. During these holiday periods, people are less likely to seek medical
treatment except when necessary. In addition, a large number of staff has historically taken holidays during
these periods, which reduces the number of patients receiving treatment. Healthcare operators may also be
affected from time to time by the general economic environment, as people are less likely to seek medical
treatment in more difficult economic environments, particularly for procedures that are not covered by
insurance.
Inability of the future Subsidiaries of the Company to mitigate these challenges effectively could have a
material adverse effect on their business, financial condition, results of operations or prospects.
v.

Because of the risks typically associated with the operation of medical care facilities, patients may contract
serious communicable infections or diseases
Healthcare providers treat patients with a variety of infectious diseases. Previously healthy or uninfected people
may contract serious communicable diseases in connection with their stay or visit at healthcare facilities of
companies we invest in. This could result in significant claims for damages against operators and, as a result of
reports and press coverage, to loss of reputation. Furthermore, these infections could also affect employees of
such healthcare providers and thus significantly reduce the treatment and care capacity in the short-, mediumand long-term. In addition to claims for damages, any of these events may lead directly to limitations on the
activities as a result of quarantines, closing of parts of the hospitals at times for sterilization, regulatory
restrictions on, or the withdrawal of, permits and authorizations, and it may indirectly result, through a loss of
reputation, in reduced capacity utilization. Any of these factors could have a material adverse effect on future
Subsidiaries of the Company in terms of their business, financial condition, results of operations and prospects.

vi. Given the climate of the GCC, cooling systems are essential to continuous operations of healthcare facilities
The GCC is in a climate zone that has relatively high temperatures during approximately three-quarters of the
year, requiring cooling systems to operate continuously during these periods. Health services are particularly
dependent on the proper operation of cooling systems in hot climate zones because patients are, in general,
particularly vulnerable to extreme weather conditions such as high temperatures. The failure of cooling systems
during hot days could lead to discomfort in patients and medical staff, a disruption in operations and, in some
cases, to dehydration or heatstroke which would have a disproportionately negative effect on the infirm.
Moreover, if facilities of the future Subsidiaries of the Company were affected uniquely by failures in the cooling
systems, this could have a detrimental impact on their reputation. Any such failures could have a material
adverse effect on their business, financial condition, results of operations and prospects.
vii. Healthcare operators are dependent on third-party suppliers and sub-contractors
Healthcare operators source the majority of medical supplies, pharmaceuticals and equipment from agents
acting as the exclusive distributors for third-party suppliers and also outsource various activities, to subcontractors. Operators may not be unable to rely on these third-party suppliers and sub-contractors, either due
to an adverse change in relationships with them; increases in the cost of their goods and services that they are
unable to pass through to their patients or their payors; or inability to provide requisite quantity and quality of
supplies or services in a timely manner. Inability of the future Subsidiaries of the Company to mitigate such
events could have a materially adverse effect on their business, financial condition, and results of operations or
prospects.
(d) Risks Relating to the Education Industry
i.

Quality of services provided by the education facilities is essential to preservation of brand or reputation
Parents/students tend to select education providers based upon brand recognition and reputation thus
providing high quality education is essential. If companies are unable to provide high quality services to their
pupils/students and fail to maintain a high level of satisfaction, their brand or reputation could be damaged.
Any significant damage to reputation and/or brand value of future Subsidiaries of the Company caused by
any of the foregoing factors could have a material adverse effect on their ability to attract new and repeat
- 28 -

pupils/students and, as a result, adversely affect their business, financial condition, results of operations or
prospects.
ii.

Ability to enroll new students and re-enroll existing students is essential to ensure profitability
Increasing enrollments and utilization rates in the Group education facilities are critical to the financial
performance of education companies. If recruitment efforts fail to increase enrollment or replace departing
students, financial performance may suffer and as a result, adversely affect business, financial condition, results
of operations or prospects of the future Subsidiaries of the Company.

iii. Ability to maintain or increase the tuition fees is essential to ensure profitability
Tuition fees are regulated. Typically operators have to justify tuition fee changes in order to secure approval
from the regulating government body before implementation. Approval is at the full discretion of the regulator
or subject to quality ratings and the outcome could be that operators are unable to increase prices or can but
less than increases in cost. In addition, operators face competition which may either require discounts,
additional services at no cost or discounts, no increases or increases less than increases in costs. Inability of
future Subsidiaries of the Company to mitigate the events noted could adversely affect their business, financial
condition, results of operations or prospects.
iv. Any change in the timing of tuition fee payments could create cash flow issues
Education operators typically collect most of their tuition fees before the beginning of the first term or semester
of the academic year and the remainder before the beginning of the second term or semester of the academic
year. If new regulations or changing market conditions require education operators to collect fees more evenly
over the course of the academic year, cash flow may be negatively affected and create need for additional
working capital or third-party funding to finance operations. If future Subsidiaries of the Company are faced
with such a situation and are not able to address the funding requirement, then their business, financial
condition, results of operations or prospects maybe adversely affected.
v.

Growth and expansion may be restricted by lack of ability to access land and/or suitable buildings
In order to secure growth and expansion as well as smooth day-to-day operation, educational facilities require,
amongst other things, access to real estate such as plots of land or leased space in building facilities, preferably
long term agreements to secure the use of the premises. Securing such premises is a function of permits from
local authorities, availability and suitability of locations/buildings and commercially and economically viable
terms and conditions. If future Subsidiaries of the Company are not able to secure suitable real estate or
buildings to grow and expand their operations then their business, financial condition, results of operations or
prospects maybe adversely affected.
(e) Risks Related to Corporate Transactions

i.

Risks related to business development through partnerships, acquisitions, joint ventures, greenfield
developments, alliances, start-ups or investments (Corporate Transactions) may adversely affect the
Company or result in its inability to timely invest / monetize its assets
The Companys business strategy is dependent on its ability to identify suitable Corporate Transactions in a
timely manner in order to deploy proceeds of the IPO. The Company cannot assure investors that it will be
able to identify suitable Corporate Transactions on the timescale envisaged, or that they generate positive
returns for Shareholders. In addition, Corporate Transactions may result in future liabilities and/or obligations..
Such liabilities and/or obligations may lead to repayment of damages (including but not limited to litigation
costs) or unwinding of contracts. In certain circumstances, it is possible that representations and warranties
incorrectly given could give rise to the payment of damages or unwinding of contracts.
Certain obligations and liabilities associated with Corporate Transactions can also continue to exist
notwithstanding any acquisition or disposal, such as certain environmental liabilities. Any claims, litigation or
continuing obligations in connection with the disposal of any assets may subject the Company or the future
Subsidiaries of the Company to unanticipated costs and may require such companies to devote considerable
time to dealing with them.
Prior to entering into Corporate Transactions, the Company may perform due diligence on the proposed
Corporate Transactions and underlying assets. Such due diligence may rely in part on third parties to conduct
- 29 -

a significant portion of this due diligence (including providing legal reports). There can be no assurance,
however, that any due diligence examinations carried out by third parties in connection with any Corporate
Transactions will reveal all of the risks, or the full extent of such risks. Corporate Transactions and companies
underlying such transactions may be subject to hidden material issues that were not apparent at the time of the
executing such transactions.
As a result, any of the above may have a material adverse effect on the financial condition, business, prospects
and results of operations of companies in the business development industry.
(f) Risk Factors Relating to the Shares and the Offering
i.

After the Offering, certain Founders will continue to be able to exercise significant influence over us, our
management and our operations
As at the date of this document and immediately after the Offering, some of the Founders will together hold
45% of issued share capital. Consequently, these Founders, to the extent they elect to act together, will be able
to exercise control over our Management and operations and over our General Assembly Meetings, such as in
relation to the payment of dividends and the appointment of the majority of the Directors to the Board. There
can be no assurance that the interests of the Founders will coincide with the interests of purchasers of the
Shares.

ii.

The market price of the Shares may fluctuate widely in response to different factors and the Companys share
price may suffer volatility
Subscribers to the Offering may not be able to sell their Shares at or above the Offer Price due to a number of
factors, as the market price for the Companys Shares after the Offering may be significantly affected by factors
such as variations in the Companys results of operations, market conditions, or changes in government
regulations. Market fluctuations, as well as economic conditions, may adversely affect the market price of the
Shares. The fluctuations, e.g. leading to the Share price fall, may particularly result from any future sales of the
Shares by a significant investor in the public market.

iii. Shareholders may be subject to withholding tax


The Company is incorporated in and resident of the UAE for tax purposes. As such, its profits are not subject
to tax. However, tax regimes differ depending on the jurisdiction. Prospective investors who are resident in
other countries than the UAE, e.g. KSA (where, e.g. zakat may be payable) for tax purposes may be subject to
tax liability in their respective country of tax residence.
iv. When the lock-in arrangements to which the Founders are subject expire, more Shares may become available
on the market which could reduce the market price of the Shares
The Shares held by the Founders shall be subject to a lock-in and as such, not sellable prior to publication of
the financial statements of the Company for two financial years of the date of publication of a notice of Amanat
Holdings incorporation (Lock-In Period). Upon expiry of the Lock-In Period, however, subsequent
significant sales by the Shareholders of our Shares, should these occur, may significantly reduce the price of the
Shares. We are unable to predict whether substantial amounts of the Shares (in addition to those which will be
available in the Offering) will be sold in the open market following the termination of the Lock-In Period. Any
sales of substantial amounts of the Shares in the public market, or the perception that such sales might occur,
could materially and adversely affect the market price of the Shares.
v.

A liquid market for the Ordinary Shares may fail to develop


Prior to the Offering, there has been no public trading market for the Shares. We cannot guarantee that an
active trading market will develop or be sustained following the completion of the Offering, or that the market
price of the Shares will not decline thereafter below the Offer Price. The trading price of the Shares may be
subject to wide fluctuations in response to many factors as well as stock market fluctuations and general
economic conditions or changes in political sentiment that may adversely affect the market price of the Shares,
regardless of our actual performance or conditions in our key markets.

- 30 -

vi. Absence of Prior Trading Market; Potential Volatility of Stock Price


Following the Offering, and the finalization of the incorporation of Amanat Holdings, the Company will apply
to list its Shares on the DFM. Prior to the Offering, there has been no public market for the Shares and there
can be no assurance that an active trading market for the Shares will develop or, if developed, that such market
will be maintained after the listing. If an active trading market is not developed or maintained, the liquidity and
trading prices of the Shares could be adversely affected. Subscribers in the Offering may not be able to resell
their Shares at or above the Offer Price due to a number of factors, including variations between actual and
anticipated operating results, changes in or failure to meet earnings estimates of securities analysts, market
conditions in the industry, regulatory actions and general economic conditions. Sharp market fluctuations may
adversely affect the trading price of the Shares on the DFM regardless of the actual operating performance of
Amanat Holdings. Additionally, several factors can affect the prices of traded securities and their volatility.
These factors include, but are not limited to:

Changes in operating results;


Downturn in the economy;
Slowdown in the growth of the Amanat Holdings; and /or
Announcement of new technologies and services from competitors

(g) Risk Factors Relating to the Economy and Political Climate of the GCC
i.

Growth of GCC Economies


Amanat Holdings revenue shall be derived from its GCC operations and investments, and therefore the
performance of Amanat Holdings is going to be linked to the economic environment throughout the GCC.
Any downturn in the GCC economies could impact the growth of Amanat Holdings, as the Amanat Holdings
revenues will be solely contingent on its operations throughout the GCC. Lack of geographical diversification
limits Amanat Holdings sources of revenue and any negative effect on the domestic industry or general
economic condition of the GCC states could have detrimental effects on the Companys performance.

ii.

The GCC regional economies are heavily reliant on oil and accordingly, the future oil price scenario will
determine to a large extent the economic conditions in the region
The GCC regional economies are heavily reliant on oil and accordingly, the future oil price scenario will
determine to a large extent the economic conditions in the region. While oil prices are currently at historic highs
and GCC economies have witnessed rapid growth on the back of high oil prices, any downturn in oil prices
may have a dampening effect on regional growth and thereby on the growth of business. As Amanat Holdings
business emanates in part from the oil & gas and the infrastructure sector, such a fall in oil prices may impact
Amanat Holdings business and growth.

iii. The operations and earnings of Amanat Holdings suppliers may in the future be affected in varying degrees by
political instability and by other political or international developments and laws and regulations, such as forced
divestiture of assets, sanctions, imports and exports; military or other international conflicts; civil unrest and
local security concerns that threaten the safe operation of the Company facilities; price controls, expropriation
of property, or revision or cancellation of contract rights
Since late 2010, there have been significant civil disturbances and political turmoil affecting several countries in
the GCC, wider MENA region, or north Africa, which to date have led to the collapse of the political regimes
of Tunisia, Egypt and Libya. Syria is currently experiencing significant nationwide violence, and there are ongoing protests in other countries in the MENA region and north Africa, including strikes, demonstrations,
marches and rallies.
Such continuing instability and unrest in the MENA region and north Africa may significantly impact the
economies in which we do business, including both the financial markets and the real economy. Such impacts
could occur through a lower flow of foreign direct investment into the region, capital outflows or increased
volatility in the global and regional financial markets. Although the UAE has not been directly impacted by the
unrest in the broader region to date, it is unclear what impact this unrest may have on the UAE or any of the
countries in which we do business in the future.

- 31 -

iv. Our business may be materially adversely affected if the US/AED-pegged exchange rate were to be removed
or adjusted
Although the US/AED exchange rate is currently pegged, it may not be so in the future. The existing fixed
rate may be adjusted in a manner that has a material adverse effect on our business operations.
(h) Risks Relating To Regulation and Taxation
Any change in the current Companies Law or any other relevant law governing the operations of the Company
may have an impact on the structure of Amanat Holdings. the Company is unable to forecast what these
changes will be and how they will impact its operations.
v.

Changes in tax laws could materially adversely affect our business, financial condition and results of operations
Under current UAE legal framework, no income taxes will be levied on Amanat Holdings operations. Amanat
Holdings profits arising from its operations in the UAE might be affected should the tax laws of the UAE
change. Subscribers should note, however, that any future operations of Amanat Holdings outside the UAE
may be subject to taxes. Any changes in tax laws or regulation affecting the Company or the unexpected
imposition of tax on its investments could adversely affect its performance.

vi. There can be no assurance the Companys incorporation process will be successful
Following the Offering and the allotment of the Offer Shares, the Founders will proceed with the necessary
steps and requirements for the purpose of completing its incorporation as a PJSC prior to the expected listing
of the Offer Shares on the DFM. Although the Company believes that it meets all pre-requisites for the
completion of such incorporation, there can be no assurance that these pre-requisites will be satisfactory to the
relevant authorities.
15. Reasons for the Offering
The healthcare sector is burdened given the growth in the population, the increase of the number of expats
and the increase in the chronic diseases which participated in creating a gap in the public and private hospitals
capacity. In addition, the regulatory environment and the compulsory insurance that has been adopted in
certain GCC countries have constituted an additional burden on the private hospitals. Similarly in the
education sector, where the growth in the students numbers and the inadequacy of the education levels in
public schools have constituted a growth factor in the private education in the GCC. Furthermore, the
parents readiness to pay the tuitions of the private education, based on their will to provide their children
with the highest levels of education, has burdened the private education sector. Therefore, the founders are
targeting to reduce the charges and share the social responsibility, in addition to positive returns expected
from the venture in those two sectors through the incorporation of the Company and the Offering.
16. Use of Subscription Proceeds
(a) Total sum expected to be derived from the subscription:
AED 2.5 billion of capital will be raised inclusive of investment by Founders.
(b) Main purposes in which subscription proceeds will be used and expected sums of
the use of each purpose:
The Company expects to use the proceeds to fund partnerships with and/or provide expansion capital
to growth companies in the Healthcare and Education Sectors effect investments in entities
operating in education and healthcare sectors in the GCC and for general corporate purposes.
(c) Timetable and order of priorities of use of subscription proceeds:
The Company intends to deploy approximately AED 2.3 billion of the capital raised within 12 months
of the IPO as outlined in section THIRD: FINANCIAL INFORMATION ABOUT
AMANAT HOLDINGS. The balance will be held as cash on hand to support working capital
needs and general corporate purposes.
- 32 -

17. Subscription and Offering Costs


The Subscription and Offering costs are of AED 39,494,522, consisting in the costs relating to receiving
the subscription, the costs of the support office services with respect to the allocation period and
subscription, the Subscription Manager fees, legal fees, auditors fees, strategic consulting fees, advertising
and public relations campaigns expenses and the translation and printing costs.
The Subscription and Offering Costs will be covered by total Issue Costs amounting to AED 50,000,000
and the surplus if any will be carried forward to the current reserve account and disclosed in Amanat
Holdings constitutional general assembly meeting.
THIRD: FINANCIAL INFORMATION ABOUT AMANAT HOLDINGS
The financial information about Amanat Holdings contained in this section consists of projections which illustrate
the potential future performance of the Company assuming the successful implementation of the Issuers business
strategy. These projections are based upon a number of assumptions and estimates that are inherently subject to
significant business, economic and competitive uncertainties and contingencies. This includes the timing of
potential investments, the performance of such investments, and developments in the healthcare and education
sectors in the GCC. Many of these uncertainties and contingencies are beyond the Companys control and are
based upon specific assumptions with respect to future business decisions, some of which will change. For
additional information regarding the projections, please see section SECOND: KEY DETAILS OF
AMANAT HOLDINGS, point 3, Investment Risks.
1.

Sources and Uses of Capital


The Company aims to achieve a total capitalization of AED 2.5 billion, through a combination of cash from
founding shareholders totaling AED 1.125 billion and capital raised through an initial public offering (IPO)
in the amount of AED 1.375 billion. The Company will fund its portfolio through equity sources with no
reliance on debt to enable the Management Team to focus on long-term value creation, without creating the
urgency of generating short-term gains to fund debt repayments. The capitalization details are presented
below (Exhibit 3.1.1):
Exhibit 3.1.1: Capitalization Plan

Pre- IPO
IPO

Type

Value

Share (%)

Cash from Founding Shareholders

AED 1,125,000,000

45%

Capital raised (IPO)

AED 1,375,000,000

55%

AED 2,500,000,000

100%

TOTAL

The Company plans to deploy the majority of the AED 2.3 billion capital within 12 months of the IPO to
limit idle capital. The Companys capital deployment approach is expected to focus on investing in Platform
Companies, Corporate Ventures and Social Infrastructure Projects.
To achieve the target allocation of 70% investment in Portfolio Companies (AED 1.75 billion), the Company
is targeting investment in up to six Platform Companies in healthcare (provider) and education (K-12
education facilities and higher education universities) given the current pipeline and short-listed subsectors
and geographies. The Company expects investing the capital reserved for the Platform Companies within a
period of two years. In the event of lack of feasible opportunities to venture with already established
companies within this period, the Company will establish new enterprises in the healthcare and education
sectors in the GCC which will aim to provide services that will participate in filling the gaps in both the
capacity and the quality.
As part of its Corporate Ventures (5% target allocation or AED 0.125 billion), the Company is targeting
investment in up to six Corporate Ventures in healthcare and education given the current pipeline and shortlisted subsectors and geographies.
Finally, as part of its Social Infrastructure Projects (25% target allocation or AED 0.625 billion) the Company
is targeting investment in up to four Social Infrastructure Projects in healthcare and education given the
current pipeline and short-listed subsectors and geographies.
- 33 -

In the event of lack of feasible opportunities within this period, the Company will use the funds that were
expected to be used in establishing new enterprises similar to the Platform Companies or Corporate Ventures
or expanding the existing enterprises at that time in the healthcare and education sectors in the GCC.
The financial projections reflect the acquisitions planned for by the Company.
2.

Summary of Illustrative Projected Consolidated Financial Statements

The illustrative projected consolidated financial statements below assume the successful implementation of
the Companys strategy to deploy capital as outlined above. See the Risk Factors section: The Companys
actual operating results and other events may differ significantly from the projections included in the
Prospectus. The illustrative projected consolidated financial statements have been compiled in accordance
with the principles of International Financial Reporting Standards (IFRS).
(a) Assumptions underlying the financial projections:

Partner with two universities as Platform Companies and provide them capital to finance the
expansion of operations, purchase of equipment, working capital and for general corporate purposes;
and develop and fund new campuses as Social Infrastructure Projects
Partner with an integrated nursery, primary and secondary school platform and provide them capital to
finance the expansion of operations, purchase of equipment, working capital and for general corporate
purposes; and develop and fund new nurseries and schools as Social Infrastructure Projects
Partner with an integrated healthcare platform and provide them capital to finance the expansion of
operations, purchase of equipment, working capital and for general corporate purposes; and develop
and fund new hospitals and referral primary care clinics as Social Infrastructure Projects
Partner with a specialized, acute care hospital and provide them capital to finance the expansion of
operations, purchase of equipment, working capital and for general corporate purposes; and develop
and fund new hospitals and referral primary care as Social Infrastructure Projects
Partner with a specialized, non-acute care healthcare facility and provide them capital to finance the
expansion of operations, purchase of equipment, working capital and for general corporate purposes;
and develop and fund new facilities as Social Infrastructure Projects
Conceptualize, develop and establish a niche provider of pediatric focused healthcare as a Corporate
Venture
Conceptualize, develop and establish a non-acute, non-secondary healthcare provider as a Corporate
Venture
Conceptualize, develop and establish a specialized, niche primary and secondary education provider as
a Corporate Venture

(b) Projected consolidated income statement


As outlined in the projections in Exhibit 3.2.1, the Issuer is expected to generate operating revenue from
operations in the education and healthcare sectors. Operating revenue in the education sector is generated
from tuition fees from students at universities, schools and other education providers, as well as ancillary
revenue (e.g. from books, transportation services, and accommodation). Operating revenue in the
healthcare sector is generated from the provision of primary care, secondary care, non-acute care, laboratory
services, radiology services and the sale of pharmaceuticals at hospitals, clinics and other healthcare
facilities. While expenses include operating expenses (direct and indirect), office, staff, and professional
expenses. Over Years 1 5, operating revenue and expenses reflects current operations of each of the
Platform Companies, Social Infrastructure Projects and Corporate Ventures, as well as expansions
including: new campuses for both universities, new nurseries and schools for the integrated nursery, primary
and secondary school platform, new hospitals and referral primary care clinics for the integrated healthcare
platform and for the specialized, acute care hospital and new healthcare facilities for the specialized, nonacute care healthcare facility. For illustrative purposes, and subject to the availability of sufficient retained
earnings and working capital requirements, the Company has assumed to pay out a dividend of up to 50%
of the net income received during the period. A summary of the illustrative projected consolidated income
statement is presented below (Exhibit 3.2.1). The projected numbers are rounded to the nearest AED 10
million for illustrative purposes.

- 34 -

Exhibit 3.2.1: Projected consolidated income statement (Year 1 Year 5)

(c) Projected consolidated statement of financial position


A summary of the illustrative projected consolidated statement of financial position is presented below
(Exhibit 3.2.2). The projected numbers are rounded to the nearest AED 10 million for illustrative
purposes.
Exhibit 3.2.2: Illustrative Projected Consolidated Statement Of Financial Position(Year 0 Year 5)
Projected Consolidated Statement of Financial Position
AED mns, YE December
Year 0
Year 1
Cash & cash equivalents
2,490
560
Accounts receivable
460
Inventory
30
Other current assets
60
Total Current Assets
2,490
1,110
Net PP&E and intangibles
4,500
Total Assets
2,490
5,610
Accounts payable
Deferred revenue
Other current liabilities
Total Current Liabilities
End of service benefits
Total Non-current Liabilities
Shareholders' equity
Minority interest
Total Liabilities & Equity

2,490
2,490

240
380
20
640
90
90
2,600
2,280
5,610

- 35 -

Year 2
540
610
50
60
1,260
4,760
6,020

Year 3
910
640
60
70
1,680
4,780
6,460

Year 4
1,420
700
60
70
2,250
4,680
6,930

Year 5
2,020
760
60
80
2,920
4,580
7,500

290
440
20
750
100
100
2,760
2,410
6,020

320
480
30
830
110
110
2,950
2,570
6,460

340
530
30
900
120
120
3,150
2,760
6,930

360
570
40
970
130
130
3,400
3,000
7,500

(d) Projected consolidated statement of cash flow


A summary of the illustrative projected consolidated statement of cash flow is presented in Exhibit 3.2.3
below. The projected numbers are rounded to the nearest AED 10 million for illustrative purposes.
Exhibit 3.2.3: Illustrative projected consolidated statement of cash flow (Year 0 Year 5)

- 36 -

Report by the Independent Reporting Accountant on the Financial Projections


The Directors
Amanat Holdings PJSC
Level 9, Office 901
Park Place Tower
Sheikh Zayed Road
PO Box 5527
Dubai, UAE
[Date]
Dear Sirs
We report on the projected financial statements (statement of profit or loss and other comprehensive income, cash
flow statement and the statement of financial position) for the years presented (year 0 year 5) (the Financial
Projections) of Amanat Holdings Capital Group PJSC (the Company) on pages 34 to 36 of its prospectus dated
20 October 2014 (the Prospectus). The basis of compilation is described in section three of the Prospectus
(Financial Information About Amanat Holdings). Management is responsible for the preparation of the Financial
Projections and for the factors and assumptions as detailed in the Amanat Holdings PJSC Feasibility Study (the
Study) and the Companys Financial model (the Model), in accordance with the requirements of the Securities
and Commodities Authority (SCA).
We conducted our work in accordance with International Standard on Assurance Engagements 3000, Assurance
Engagements Other Than Audits or Reviews of Historical Financial Information. Our work included evaluating the
basis for compilation of the Financial Projections and considering whether they have been properly compiled based
upon the assumptions as detailed in the Study and the Model and the accounting policies are in accordance with
International Financial Reporting Standards (IFRS). We planned and performed our work so as to obtain the
information and explanations we considered necessary in order to provide us with reasonable assurance that the
Financial Projections have been properly compiled on the basis stated and the basis of accounting used for the
Financial Projections has been consistent with IFRS. Since the Financial Projections and the assumptions on which
they are based relate to the future and may therefore be affected by unforeseen events, we express no opinion as to
whether the actual results reported will correspond to those shown in the Financial Projections and differences may
be material. Our engagement does not provide any assurance whether the assumptions provide a reasonable basis
for the Financial Projections.
In our opinion, the Financial Projections have been properly compiled on the basis stated in section three of the
Prospectus (Financial Information About Amanat Holdings) and as detailed in (i) the Study and (ii) the Model, and
the basis of accounting used is consistent with IFRS.
This letter is required by SCA and is given for the purpose of complying with the prospectus requirement as set out
in SCAs Form B-1-5 and for no other purpose.
Yours faithfully

Name:
Signature:
Stamp:

- 37 -

(e) Material Agreements before and during incorporation


Since the Company is newly incorporated, there are no material agreements or contracts that have been entered
into by the Company.
(f) Incorporation licenses obtain by the Company
The incorporation of the Company was licensed by the Dubai Department of Economic Development
Administrative Resolution number 295 of 2014.
(g) Material Events During Incorporation
The Company has not witnessed any material events as it is still under incorporation.
(h) Limitations on Founders
As per applicable UAE laws, Shares held by the Founders amounting to 45% of the issued share capital of
the Company, which is fully paid with the offering costs (as defined under section FOURTH: OTHER
INFORMATION, point 13, Legal Matters will be subject to a mandatory lock-up period for two financial
years extending from the date of the incorporation of the Company until the end of the second financial
year following such incorporation. A Founder will not be allowed to sell or transfer the Shares during such
period, except to another Founder(s).
FOURTH: OTHER INFORMATION
1. Administrative and Organizational Structure of the Company
The Companys group organizational structure is a functional based setup with industry focused
professionals organized into sector teams (Exhibit 2.1.4). Such a structure is well aligned with the dual
mandate in Healthcare and Education and has several advantages:

Ensuring end-to-end accountability as the same team sources, screens and monitors opportunities
for partnership and/or development
Facilitating value creation as all asset types (i.e. Platform Company, Corporate Venture and Social
Infrastructure Projects) falling under one Sector are ultimately handled by a sector specific industry
focused professional
Promoting further operational expertise in both Sectors
Exhibit 4.1.1: Group Organizational Structure

Chairman

Audit
Committee

Board

Nomination
and
Remuneration
Committee

CEO

Investor
Relations
Director

Notes:

(1)

Legal and
Compliance
Director

Chief
Financial
Officer

Chief
Operating
Officer

Education
Strategy

Healthcare
Strategy

(1)

(1)

Director

Education Strategy Director and Healthcare Strategy Director have reporting lines to the Chief Operating Officer

- 38 -

Director

Social
Infrastructure
Director

Each of the heads of both the education team and the healthcare team position will report to the Chief Operating
Officer.
2. Corporate Governance
The corporate governance requirements applicable to joint stock companies listed on the DFM are set out
in the Governance Rules and Corporate Discipline Standards issued on 29 October 2009, pursuant to
Ministerial Decree no. 518 ("Governance Rules") and its amendments, including the amendment dated
1/5/2014 by virtue of the Ministerial Resolution No (250) for the year 2014 applicable starting its publication
in the Official Gazette on 15/5/2014K and applies to all companies listed on the DFM. These requirements
include, inter alia:
(a) Entering into related parties transactions: The Company shall not enter into transactions with related
parties owning at least (10%) or more of the Companys assets- as per the Companys last annual or
periodic financial statements, without the approval of the Board of Directors and the General
Assembly. The related party shall not vote on the Board and the General Assemblys resolution with
respect to the concerned transaction.
(b) In the event of any material change to the conditions of the transaction, another approval by the Board
and the General Assembly is required. Such transactions shall be evaluated and their conditions shall
be reviewed by an evaluation firm specialized in transactions field, before being signed. The evaluation
shall be on the Companys expenses.
(c) In the event any related parties transaction has been entered into in violation of the above items (a)
and (b), the liability for damages due to the violation, or if the transaction appeared to be unfair or
involving a conflict of interests and harming the other shareholders interest, therefore the damages
suffered by the Company shall be borne by the relevant director or by the entire Board in the event
the resolution was unanimously voted. However, in the event the Board resolution was voted by the
majority, the opposing directors shall not bear any liability if their opposition was evidenced in the
meetings minutes. Hence, if any director was absent from the meeting which issued the resolution, he
shall remain liable unless he proves that he did not have any knowledge of the resolution or that he
was not able to object despite the fact that he knew about it.
(d) In the event the Company enters into any related parties transaction, each shareholder holding 5% at
least of the shares of the Company, shall have the right to :
i.
Consult and check all documents and deeds pertaining to the transaction and
appoint an independent auditor on its own expenses to review the transaction.
ii.
Apply to the SCA to review the transaction to confirm its compliance with the
procedures s contained in the governance controls.
iii.
File legal proceedings before the competent court against the parties to the
transaction to oblige them to provide all documents and deeds and shall have the
rights to ask questions to the parties of the transaction to get clarifications, and in
the event the transaction proved to be unfair or involving a conflict of interests and
harming the other shareholders interests, the court may void the transaction and
force the related party to pay the Company any profit or benefit achieved , in
addition to the compensation in the event any damage proved to be suffered by the
Company.
(e) In the event any related parties transaction is entered into, the Chairman shall provide the SCA with
the following:
i.
Notice containing the information and data on the related party, the details of the
transaction and the nature and the extent of the related partys interest in the
transaction.
ii.
Written confirmation that the transaction conditions with the related party are fair
and reasonable and in the interest of the Companys shareholders.
(f) Disclosure of the related parties: in the event any related party is contemplating a transaction with the
mother company or any of its subsidiaries or sister companies, and the said transaction amounted to
(10%) or more of the Companys assets value, as per the last annual or periodic financial statements,
the said related party shall immediately disclose the nature of the transaction, its terms, all the material
information on its stake or shareholding in the companies parties to the transaction and the extent of
its interest or benefit, by a written letter to be sent to the Board which immediately disclose to the
exchange.
(g) The details and terms of the transaction mentioned in item (f) above and the conflict of interest of the
related party shall be included in the annual financial statements to be submitted to the General
- 39 -

Assembly and the said information shall be published on the Companys website and the exchanges
website.
(h) In the event the related party breached its disclosure obligation mentioned in item (f) above, the Board
or a shareholder holding 5% or more of the Companys shares may file legal proceedings against the
director or the related party before the competent court requesting the freeze of the transaction subject
of the violation and to requesting the court to force the violating director or related party to pay the
Company any profit or benefit achieved.
(i) the majority of the Board of Directors must be comprised of non-executive directors, and at least one
third of the Board of Directors must be independent in line with the requirements of the Governance
Rules;
(j) the Board of Directors must hold a minimum of 6 (six) meetings each year;
(k) an Audit Committee must be established with at least three Non-Executive Directors, at least two of
whom shall be independent;
(l) a Nomination and Remuneration Committee must be established with at least three Non-Executive
Directors, at least two of whom shall be independent;
(m) the PJSC will be required to submit an annual report to the SCA which will include the PJSCs
compliance with the Governance Rules, any violations which have taken place during the year and the
Board of Director's review of the internal audit system; and
(n) the PJSC will be required to adopt a code of conduct for its Directors and employees.
The management of the PJSC shall rest in a Board of Directors, which shall consist of directors elected by
an Ordinary General Meeting by secret cumulative voting.
The Non-Executive Directors will consist of individuals who have experience in the relevant industries of
the Company and will be concerned with, among other matters, minority shareholders rights and corporate
governance.
Under the Governance Rules, the duties and role of the Board include, among other matters:
(a) the appointment of a senior management team;
(b) the opening of branches and the creation of affiliates;
(c) the setting of corporate policy on investment, finance and personnel;
(d) the approval of major investments, joint ventures, asset sales and major expenditures;
(e) the approval of basic policies and procedures, business plans and annual budgets, expense controls,
approval of limits and delegation of responsibilities;
(f) the monitoring of the Committees and the PJSCs compliance with applicable laws, regulations and
guidelines; and
(g) the setting of performance criteria and the retention, compensation and dismissal of senior
management.
Amanat Holdings operations are ultimately governed by a Board assisted by Board-level and managementlevel committees adhering to the SCA corporate governance standards, as set out under section SECOND:
KEY DETAILS OF AMANAT HOLDINGS.
In line with the above, the Board is comprised of two executive directors (Executive Directors) and five
non-executive directors (Non-Executive Directors) three of whom are independent non-executive
directors (Independent Non-Executive Directors) elected by an Ordinary General Meeting by secret
ballot.

- 40 -

3. Board Competences and Responsibilities


The duties and role of the Board include, among other matters:
(a) the appointment of a senior management team;
(b) the opening of branches and the creation of affiliates;
(c) the setting of corporate policy on investment, finance and personnel;
(d) the approval of major investments, joint ventures, asset sales and major expenditures;
(e) the approval of basic policies and procedures, business plans and annual budgets, expense controls,
approval of limits and delegation of responsibilities;
(f) the monitoring of the Committees and Amanat Holdings compliance with applicable laws, regulations
and guidelines; and
(g) the setting of performance criteria and the retention, compensation and dismissal of senior
management.
4. Board Committees
In line with SCA requirements, the Board will be assisted by two Board-level committees: Audit and Risk
Committee and Nomination and Remuneration Committee.
5. Audit and Risk Committee
The Audit and Risk Committee shall monitor, on a quarterly basis, the compliance of the Company with
the Boards policies and with applicable laws and regulations. This Committee shall work closely with
Amanat Holdings auditors, both internal and external. Amongst its responsibilities, the Audit and Risk
Committee shall approve the yearly audit plan, ensure the adequacy and effectiveness of the internal control
system, review the internal control policies, and assess the findings and action plans developed by the
auditors of Amanat Holdings.
The Audit Committee shall assume the following duties:
(a) It shall develop and apply the policy for contracting with external auditors and make a report to the
Board to set forth the issues in respect of which an action shall be adopted together with
recommendations on necessary to-be-adopted steps;
(b) It shall follow up and oversee the independence and objectivity of the external auditor and hold
discussions with the external auditor on the nature, scope and efficiency of auditing pursuant to
approved audit standards.
(c) It shall oversee the integrity of and review the Company's financial statements and annual, semiannual
and quarterly reports in the course of its operations during the year and shall, in particular, focus on:
i.
ii.
iii.
iv.
v.
vi.

any changes of accounting policies and practices;


highlighting matters that are subject to the management's judgment;
material amendments emerging out of auditing;
Assumption of the Companys going concern;
adherence to the accounting criteria set by the SCA; and
adherence to listing and disclosure rules as well as other financial reporting legal requirements.

(d) It shall coordinate with the Board, the executive management and the financial manager or the manager
assuming the same duties in the Company in order to duly fulfill its duties. The Committee shall hold
a meeting with the Company's external auditor at least once per annum.
(e) It shall consider any outstanding unconventional issues that are or have to be reflected in these reports
and accounts and shall pay necessary attention to any issues raised by the financial manager of the
Company, the manager assuming the same duties, the compliance officer or the external auditor.
(f) It shall review the Company's financial control, internal control and risk management systems.
(g) It shall discuss the internal control system with Management Team and make sure that it fulfills its
duty to develop an effective internal control system.
- 41 -

(h) It shall consider findings of main investigations into internal control issues to be assigned thereto by
the Board or at the initiative of the Committee upon the approval of the Board.
(i) It shall ensure coordination between internal and external auditors, ensure availability of necessary
resources for internal audit body, review and control the efficiency of this body.
(j) It shall review the Company's financial and accounting policies and procedures.
(k) It shall review the mission and action plan of the external auditor and any material inquiries raised by
the auditor to the management in respect of accounting records, financial accounts or control systems,
respond thereto and approve the same.
(l) It shall make sure that the board of directors responds on a timely basis to inquiries and material issues
raised in the external auditor's mission.
(m) It shall develop rules that enable the employees of the Company to secretly report any potential
violations in financial reports, internal control or other issues and adequate steps to conduct
independent, fair investigations into these violations.
(n) It shall oversee the scope of the Company's compliance with its code of conduct.
(o) It shall ensure application of rules of operation in connection with their duties and powers assigned
thereto by the Board.
(p) It shall make a report to the Board on the issues set in this clause.
(q) It shall consider any other issues as the Board may determine.
The Committee will be comprised of three members.
6.

Nomination and Remuneration Committee


This Committee shall deal with all personnel and compensation policies, organization structure and all
other matters relating to the employees of Amanat Holdings.
The Remuneration and Nomination Committee shall be mainly charged with:
(a) Verification of ongoing independence of independent Board members.
(b) Formulation and annual review of the policy on granting remunerations, benefits, incentives and
salaries to Board members and employees of the Company and the committee shall verify that
remunerations and benefits granted to the senior executive management of the Company are
reasonable and in line with the Company's performance.
(c) Determination of the Company's needs for qualified staff at the level of the senior executive
management and employees and the basis of their selection.
(d) Formulation, supervision of application and annual review of the Company's human resources and
training policy.
(e) Organization and follow-up of procedures of nomination to the membership of the Board in line with
applicable laws and regulations as well as this Resolution.
The Committee will be comprised of three members.

7. Compliance Officer
In addition, Amanat Holdings shall appoint a compliance officer with responsibility for the assessment of
the Companys and its employees' compliance with applicable laws and regulations.
8. Impact on National Services and New Technology
Amanat Holdings will take part in promoting the advancement of local business environment through
importing new technology, specifically through the creation of Corporate Ventures. While Amanat Holdings
will rely on partnerships with international players to provide the service to the market, Amanat Holdings
- 42 -

will ensure transfer and retention of knowledge in the local venture including business policies, procedures
and key intellectual property.
In Healthcare, Amanat Holdings will focus on launching Corporate Ventures to focus on the delivery of
specialized care that was previously not present in the market. For example, Amanat Holdings is considering
partnering with international renowned providers of developmental pediatrics to launch a Corporate
Venture offering such services in the region. Similarly, in Education, Amanat Holdings Corporate Ventures
will target launching novel services such as E-Learning solutions (e.g. online tutoring) that are not currently
present in the local market.
Amanat Holdings is committed to complying with all the laws and regulations governing the environment.
While the operations of Amanat Holdings are not expected to impact the environment, some of its
Subsidiaries might operate in fields that require complying with environmental rules and standards (e.g.
waste management for hospitals). Accordingly, the Company will ensure adherence to the highest standards
of environmental friendliness of all Subsidiaries by including environmental compliance as a key criteria in
the selection process.
9. Companys Proposed Management Structure
The Management Team possesses requisite experience and expertise - gained through investing in and
transforming companies in various industries, primarily Healthcare and Education - to create sustainably
competitive companies and thus shareholder value. Importantly, the Management Team is well versed in
the social, economic and political fabric of the GCC and has navigated successfully through the economic
cycle over the last decade to emerge as effective shareholders and Board members of companies it has
invested in and guided. Central to this expertise are the following core capabilities:
(a) Successful track-record in developing and growing companies in the Healthcare and Education Sectors.
(b) Effective and efficient manner in which value creation process is driven.
(c) Established presence in the GCC.
Biographies of the Board Directors of the Company
Faisal Bin Juma Belhoul Chairman
Faisal Bin Juma Belhoul is a UAE national and is the founder of Ithmar Capital and served until recently as
a managing partner of Ithmar Capital.
He was also chairman of the Board for a number of business companies and associations, including the
UAE Private Hospitals Council, the UAE Private School Council and the Pharmaceutical and Healthcare
Equipment Business Group of the Dubai Chamber of Commerce and Industry (DCCI).
He is currently a Board member of the DCCI by decree from the Ruler of Dubai as well as being a member
of the Young Presidents Organization (YPO). Faisal also currently serves as chairman of a public joint
stock company in Kuwait and as Board member of one of a joint stock company listed as one of the largest
companies (FTSE 250) on the London Stock Exchange (LSE) in addition to serving as a Board member in
a number of privately held companies in the GCC and internationally. In 2007, Faisal was recognized as
one of the top 100 Executives in the Gulf region. Faisal studied Manufacturing Engineering in Boston
University in US.
Sheikh Abdulla Khalifa Al Khalifa Director of the Board
Sheikh Abdulla Al Khalifa is a Bahraini national. He is the Chief Executive Officer for SIO Assets
Management Company B.S.C. Prior to joining SIO in 2006, he was the Head of Wealth Management at
Standard Chartered Bank for Bahrain. Sheikh Abdulla started his career in 2001 at Arab Banking
Corporation in Bahrain, where he rose to the position of Senior Relationship Manager. He is Chairman of
Seef Properties and Securities and Investment Company known as SICO; and a Board Member of Bank of
Bahrain and Bank of Kuwait and Bahrain Financial Company Holdings and Bahrain International Golf
Course. Sheikh Abdulla Al Khalifa was awarded a Bachelor of Science degree in Business Administration
from the George Washington University, Washington DC, USA. He has also achieved various professional
courses.
- 43 -

Abdulmonem Rashed A. AlRashed Director of the Board


Abdulmonem is a Saudi national. He is a Managing Partner of AlRashed Group of Companies which is
considered one of the most prominent family groups based in KSA and the GCC. He holds masters degree
(with honours) in business administration from Seattle University, Washington, US as well as bachelor
degree (with honours) in industrial management from University of Petroleum and Minerals, Dhahran,
KSA.
Sheikh Zayed Bin Mohamed Bin Butti Al Hamid Director of the Board
Sheikh Zayed is a UAE national. He is a Director of United Al Saqr Group which is one of the most
prominent and diversified regional groups. The Group is involved in a number of key industry sectors
including Abu Dhabi Motors and Dalma Motors; machinery manufacture and technology innovation
through Al Saqer Heavy Machinery; turnkey real estate services with Al Saqer Property Management; Awraq
Islamic financial brokerage; construction and contractor services at Royal International Construction and
Royal Joinery; and Safe Travels & Tours.
Kamal Bahamdan Director of the Board
Kamal Bahamdan is a Saudi national. He is a Chief Executive Officer, Founder of Safanad, and Chairman
of the Investment and Management Committees. Since 2002, Kamal has also been a Chief Executive
Officer of the Bahamdan Group, a global investment holding group, and he is responsible for expanding
its activities starting from a largely industrial base by building investment and operating platforms in
telecommunications, education, infrastructure and retail across the MENA region. Prior to that, he was cofounder and managing partner of the BV Group, a private equity investment firm formed in 1995, focused
on technology and real estate investments, and operating in the US, Europe and Asia. He is a graduate of
Boston University with a BS in Manufacturing Engineering. Mr. Bahamdan is a five-time equestrian
Olympian and a bronze medalist in the 2012 Olympic games. Mr. Bahamdan was named a Young Global
Leader 2006 by the Forum of Young Global Leaders, an affiliate of the World Economic Forum.
Dr. AbdulMajeed Saif Mohamed Ameen Alkhajeh - Director of the Board
Dr. Abdulmajeed Saif Mohamed Ameen Alkhajeh is a UAE national. He is the Associate Dean for Scientific
Research and Graduate Studies; and is the Associate Professor of Microbiology at UAE University. He
previously held the position of the Dean of Student Affairs and Assistant Professor at the American
University of Sharjah. Dr. Abdulmajeed has teaching experience and extensive laboratory experience in
multiple fields of diagnostic microbiology. He is the Chairman of AlKhajah Medical Group; a group of
companies providing healthcare services to the private sector in Sharjah which has led to his specialization
in the field of Bacteriology and Infectious Diseases in addition to the publication of a book, and scientific
publications.
Dr. Abdulmajeed attained his Bachelor of Science in microbiology from the University of Arizona in the
US, and his Ph.D. in Medical Bacteriology, University of Glasgow, U K.
Khalfan Bin Juma Belhoul - Director of the Board
Khalfan Bin Juma Belhoul is a UAE national. He is the Vice President of the Strategies department in Dubai
Holding, where he oversees the formulation of the companys in addition to its major role in the Mall of
the World project. Prior to joining Dubai Holdings, he established Belhoul Investment Office LLC where
he was responsible of setting the assets allocation strategy covering private equity investments, alternative
investments, real estate and traditional assets. He also led the development of the long-term relationships
with global investors managers. Prior to the setup of Belhoul Investment Office LLC, Khalfan played a
major role in the restructuring of the Belhoul Group and in and setting up the IT platform of the group.
Khalfan holds an M.S in Electronic Commerce and a B.S in both Finance and Management information
systems all from Boston University, USA.

- 44 -

Biographies of the Management Team of the Company


The senior executive management expertise and experience of each of the senior team is provided below.
Khaldoun Haj Hasan Chief Executive Officer
Khaldoun Haj Hasan in the capacity of Chief Executive Officer oversees will take charge of the overall
management of the Company and will define and execute the corporate strategy of the Company and
oversees its implementation.
Khaldoun is a Jordanian national. He is the -founder of Ithmar Capital and until recently served as its
managing partner.
Khaldoun is currently the Vice-Chairman of a public joint stock in Kuwait, in addition to being a Board
member of a public joint stock company listed as one of the largest companies (FTSE 250) on London
Stock Exchange (LSE) > He is also a Board member in various privately owned companies in the GCC and
internationally and a member of the Young Presidents Organization (YPO)
Khaldoun started his career in 1996 where he held various senior management positions including serving
as Vice President at Abraaj Capital, acting CEO of Sheikh Khalifa Small and Medium Size Enterprises,
Executive Director of Al-Bawardi Enterprises and Commercial Director of Al-Fahim Group. Throughout
his career, he was primarily responsible for investment programs, helping companies in their structure and
their expansion plans through M&A
He holds aBA and MSc in manufacturing Engineering from Boston University-USA, in addition to a MBA
(with Honors) from the same university.
Ranjit Bhonsle Chief Operating Officer
Ranjit Bhonsle in the capacity of Chief Operating Officer will help define, lead and execute the corporate
strategy of Amanat Holdings.
Ranjit is a US national. He served until recently as partner of Ithmar Capital.
Ranjit started his professional career in 1991 as a financial analyst in the corporate restructuring group of
Kidder, Peabody, an investment bank based in New York City. At Kidder, Peabody he was involved in a
number of financings, mergers, takeovers, restructuring and acquisitions with transaction value of USD 3.0
billion. He then joined Kohlberg & Co. in 1993, a private equity firm founded by Jerome Kohlberg, also
the founder of Kohlberg, Kravis and Roberts (KKR). In 2002, he founded Ravelin Capital, a company
operating in the small to middle enterprise field before joining Ithmar Capital in 2007.
He has current Board representations on a number of private companies across the region and the US.
Ranjit obtained a BA-Economics from the University of Michigan and a MBA from the London Business
School.
Abhishek Sharma Head of Education
Abhishek Sharma in the capacity of Head of Education helps define and leads the execution of the corporate
strategy of Amanat in the Education Sector.
Abhishek is an Indian National and served until recently in capacity of Principal of Ithmar Capital.
Abhishek started his professional career in 2002 as a financial analyst at Bank of America Merrill Lynch post
which he joined Lehman Brothers where he focused on mergers & acquisitions and leveraged finance
transactions in the media and telecom sector in both the US and Europe. He then joined Sun Capital
Partners, a USD 10 billion middle market private equity firm focused on investing in distressed and
underperforming companies and firm has invested in more than 340 companies worldwide with combined
sales in excess of $45 billion. At Sun Capital, he participated in successful investments in US and European
companies in the consumer, retail and manufacturing sectors before joining Ithmar Capital in 2008. He
has current Board representations on a number of companies across the GCC region and India. Abhishek
holds a BS in Engineering and Applied Sciences from the University of Pennsylvania- USA. .
Karim Ziwar Head of Healthcare
Karim Ziwar in the capacity of Head of Healthcare will help define and leads the execution of the corporate
strategy of Amanat in the Healthcare Sector.
- 45 -

Karim is an Egyptian National and served until recently in capacity of Principal of Ithmar Capital.
Karim started his professional career in 2001 with National Telecommunication Corporation, Egypts
largest private IT / Telecommunications company, where he managed the share swap and merger of 18
subsidiaries. He then joined Tejari, one of the Venture Capital arm of Dubai World, where he was
responsible for the investment strategy within the new ventures department, as well as the regional
expansion before joining Ithmar Capital in 2007. He serves on the board of directors of a public company
in the GCC. Karim attained his BA in Finance and Management, and his MBA in Corporate Finance and
International Business from the University of Miami.
Kareem Murad Director
Kareem Murad in the capacity of Director will assist in the execution of the corporate strategy of Amanat
in the Healthcare and Education Sectors.
Kareem is a Jordanian National and served until recently in capacity of Director of Ithmar Capital.
Kareem started his professional career in 2000 as an Assistant Head of Treasury and Investment
Department in Arab Banking Corporation (Jordan) for 4 years. Kareem was a Senior Vice President in the
Research department at SHUAA Capital for 6 years where he was responsible for the logistics and
transportation sector including aviation, logistics services, shipping, port development and infrastructure.
He also served as President in the Research department at SHUAA Capital for an interim period before
joining Ithmar Capital in 2012. Kareem has a Bachelor degree in Business Administration from the
American University of Beirut, and MSc in International Finance and Capital Markets with Honors from
the University of Brighton.
Tharshan Wijeyamohan Director
Tharshan in the capacity of Director will assist in the execution of the corporate strategy of Amanat in the
Healthcare and Education Sectors.
Tharshan is an Australian National and served until recently in the capacity of Director of Ithmar Capital
Tharshan started his career with Morgan Stanley in 2004 as an analyst in investment banking where he
focused almost exclusively on infrastructure and utilities. He worked on a number of transactions ranging
from IPOs, rights offerings to mergers and acquisitions before joining Ithmar Capital in 2008. Tharshan
earned a double Bachelor of Laws and Bachelor of Commerce degree from the University of Sydney with
First Class Honors.
10. Committees Emanating From the Board Competences and Responsibilities of each
Amanat Holdings is committed to implementing the principles of corporate governance and will ensure that
these principles are applied by management.
Board Committees will be established with clear authorities and responsibilities. The Committees
respective authorities shall generally be of a consultative nature, with all recommendations which require
Board approval being submitted through the Chairman for review, decision and ratification. Amanat
Holdings shall have several functional Committees including, inter alia, the Audit and Risk Committee and
Nomination and Remuneration Committee. The full Board will be kept fully informed of all decisions
governing Amanat Holdings overall operations as submitted and recommended by the various Committees.
Audit and Risk Committee: The Audit and Risk Committee shall monitor, on a quarterly basis, the
compliance of Amanat Holdings with the Boards policies and with applicable laws and regulations. This
Committee shall work closely with Amanat Holdings auditors, both internal and external. Amongst its
responsibilities, the Audit and Risk Committee shall approve the yearly audit plan, ensure the adequacy and
effectiveness of the internal control system, review the internal control policies, and assess the findings and
action plans developed by the auditors of Amanat Holdings.
Nomination and Remuneration Committee: This Committee shall deal with all personnel and compensation
policies, organization structure and all other matters relating to management and other employees of the
Company.
An internal control system shall be established to evaluate the means and procedures for risk management
and the implementation of the Corporate Governance Code. Internal control shall be established by the
Board after consulting the executive management.
- 46 -

11.

Legal Matters
The following summary is qualified by the relevant provisions of the Memorandum, the Articles and the
Companies Law.
(a)

Articles

The full text of the Articles is set out at Annexure 1 to this Prospectus.
The Articles describe the rights and obligations associated with the ownership of the Shares in detail.
i.

General Description of Capital and Shares

Capital
Amanat Holdings capital shall be two billion and five hundred million Dirhams (AED 2,500,000,000),
divided into two billion five hundred million shares (2,500,000,000 shares), the nominal value of each share
being one Dirham (AED 1). All the Shares of the Company are cash shares which are fully paid. An amount
of AED 0.02 shall be added to the value of each share as a subscription fee. All the Shares are equal in respect
of all rights.
Voting Rights
Each shareholder shall have the right to attend the General Assembly of the shareholders and shall have
a number of votes equal to the number of his/ her Shares.
Rights Attaching to Shares
Shares are indivisible, but two or more persons may jointly hold one or more Shares, provided they are
represented before the Company by one person only. Joint holders of one Share are responsible jointly for
the obligations arising from such ownership.
Each Share shall give its holder equal rights in Amanat Holdings assets and dividends as well as rights to vote
at the General Assembly of Shareholders on a one-Share-one-vote basis.
Share Register
The share register will be delivered to DFM and listing on the DFM will take place on December 17 2014.
Financial Year
The financial year of Amanat Holdings will start on the 1st of January and end on December 31st of
December of each year. The first financial year of Amanat Holdings will start upon incorporation of the
Company and registration with the commercial register and end on December 31 of the following year.
Dividends
Dividends due on Shares shall be paid to the holder of those shares registered in the Share Register in
accordance with the Companies Law and its amendments and the regulations issued by the SCA in this
respect. Only that shareholder shall have the right to the profits due on those shares whether these profits
represents dividends or entitlement to a part of Amanat Holdings assets.
General Assembly
The Board may convene an Ordinary General Assembly whenever it deems necessary. In any event, the
General Assembly must convene at least once a year upon an invitation by the Board within the four (4)
months following the end of the financial year at the place and the time specified in the invitation to the
meeting.
Meetings of the General Assembly of Amanat Holdings Shareholders may be by way of annual (ordinary) or
extraordinary meetings. An Annual General Assembly is held at least once a year, within four months of the
- 47 -

end of the financial year. The Annual General Assembly shall consider matters including Directors and
Auditors reports, the balance sheet and the profit and loss accounts, the amount of dividends to be
distributed, the election of Directors and/or auditors and the remuneration and dismissal of Directors and
auditors.
Extraordinary General Assembly
Extraordinary General Assemblies are convened to discuss and approve matters other than those considered
in Annual General Assemblies, including: (i) amendment of the Memorandum or the Articles; (ii) increase or
decrease in the share capital of Amanat Holdings; (iii) extension or shortening of the term of Amanat
Holdings; or (iv) any sale or disposal, dissolution, liquidation or merger of Amanat Holdings.
Invitation and Notice Period
A General Assembly (Annual or Extraordinary) is convened by a notice from the Board. Such notice shall
be distributed by registered letters to shareholders and shall be published in two daily UAE newspapers
published in the Arabic language at least 21 days prior to the proposed date of the General Assembly. The
invitation must include an agenda. Copies of the invitation and the agenda shall also be sent to the SCA for
approval.
Registration
A shareholder who wishes to attend an ordinary or extraordinary General Assembly shall register his/her
name in the electronic register made available by the management of the Company at the place of convening
the meeting within ample time before the meeting. The register shall include the name of the shareholder or
his representative, the number of Shares he/she owns or represents, the names of the represented
shareholders (if any), and the appropriate proxies and powers of attorney.
Convening of Ordinary General Assembly
In addition to an Ordinary General Assembly called by the Board, a minimum number of [10] shareholders
together holding at least [thirty (30)] percent of the Shares may require by notice to Amanat Holdings that an
Ordinary General Assembly be convened by the Board. A General Assembly may also be convened if so
requested by Amanat Holdings Auditors. In both cases, the invitation to convene must be issued within [15]
days from the date of submitting the request.
Convening of Extraordinary General Assembly
An Extraordinary General Assembly shall convene pursuant to an invitation by the Board. The Board must
convene an Extraordinary meeting of the General Assembly if requested to do so by shareholder holding at
least [forty (40)] percent of the Shares. In this case, the Board must send out the invitations to the
shareholders within [15] days from the date of submitting the request.
Rights of Shareholders at General Assemblies
Every shareholder of Amanat Holdings has the right to attend the General Assembly. Each Share entitles its
holder to one vote. Any shareholder may appoint a proxy, who must not be a member of the Board, to
attend the General Assembly on his behalf. In order for the proxy to be valid, it must be a written special
power of attorney issued pursuant to any terms and conditions determined by the Board and, if the proxy is
not a shareholder, the signatures on that power of attorney must be notarised. In any event, a proxy may not
hold more than five (5) percent of the share capital of Amanat Holdings for more than one shareholder in
that capacity.
The quorum for a General Assembly in its various capacities and the majority necessary to adopt resolutions
is subject to the provisions of the Companies Law.
ii.

Transfer of Shares
As per applicable UAE laws, Shares held by the Founders will be subject to a mandatory lock-up period
extending from the date of the incorporation of Amanat Holdings until the announcement of Amanat
Holdings audited financial statements relating to the second financial year following such incorporation.
A Founder will not be allowed to sell or transfer Shares during such period, except to another Founder(s).
- 48 -

The Articles provide that the transfer of Shares shall be governed by and shall comply with the
regulations governing companies listed on DFM or any other exchange the Company is listed on.
The share participation by nationals of the GCC must not, at any time, fall below fifty-one (51) percent
of Amanat Holdings share capital.
iii. Board
The Board will have broad authority to manage Amanat Holdings affairs and to perform all tasks that
are not specifically reserved for the General Assembly. The Board will be comprised of seven members
elected by Amanat Holdings General Assembly.
iv. Dividends
Amanat Holdings may by resolution of the General Assembly declare dividends, but no dividend shall
exceed the amount recommended by the Board.
v.

Winding-up of Amanat Holdings


Amanat Holdings is incorporated for a 99 year term, which is renewable automatically for similar
consecutive terms unless a resolution of an Extraordinary General Assembly is issued to dissolve Amanat
Holdings.
Amanat Holdings shall cease to exist upon the occurrence of any of the following events: (i) the
expiration of the specified term of Amanat Holdings, unless it is renewed in accordance with the
provisions set out in the Articles; (ii) fulfillment of the objects for which the Company was established;
(iii) the issue of a resolution of the Extraordinary General Assembly to dissolve Amanat Holdings; and
(iv) the merger of Amanat Holdings with another company.
In the event that Amanat Holdings incurs losses which amount to at least half the capital of Amanat
Holdings, the Board shall convene an Extraordinary General Assembly to consider whether Amanat
Holdings should continue or be dissolved. No resolution to dissolve Amanat Holdings prior to the end
of its term as stated of the Articles, or shorten the term of Amanat Holdings, shall be effective unless
adopted by the majority of shareholders required pursuant to the Companies Law.
(b) Conflict of Interest
The Company indents to comply with requirements prescribed under UAE law and the governance rules
resolution for listed public joint stock companies and any other rules and regulations issued by the SCA
in relation to managing conflict of interest situations. In particular, in the event of a conflict of interests
in relation to a matter to be considered by the Board, the conflicted Board member shall disclose any
such interest to the Board and shall be excluded from voting in respect of the resolution. The instances
where a conflict of interest situation occurs shall be communicated by the Board to the Companys
auditor and shall be included in the auditors annual report for consideration at the Annual General
Assembly Meeting of the Company.
(c) Related Party Transactions
The Company shall comply with requirements prescribed under UAE law and the governance rules
resolution for listed public joint stock companies and any other rules and regulations issued by the SCA
concerning dealing with related party transactions. In particular, if a transaction with a related party is
contemplated by the Company, to involve any of its subsidiaries, sister or parent companies, such related
party transaction shall be disclosed by the Company to the public.
(d) Auditors
KPMG are expected to be the auditors of the Company for the first financial year.

- 49 -

(e) Taxation
The UAE levies no personal income or withholding taxes of any sort. It also does not levy zakat, a
religious tax on income and property levied according to Sharia law in many Islamic countries. Although
the UAE has promulgated income tax decrees concerning corporate entities, some dating back as long
ago as the 1960s, none of the Emirates has yet enforced these decrees, except in the case of oil companies
and, in Abu Dhabi, Dubai and Sharjah, on foreign banks, which are currently paying corporate taxation
on profits. Moreover, as the relevant machinery and procedures to implement the tax laws has not been
constituted, there is reason to believe that they may not be enforced in the near future. However, the
decrees indicate that if taxation is introduced, tax laws could be enforced retroactively.
The main corporate income tax decrees are those of Abu Dhabi and Dubai. They differ in the method
of tax computation on taxable income.
In 2002, Federal Decree No. 55 was issued, imposing 5% customs duty on all assets imported by a
company operating in the UAE, unless such company is exempted by the MoF from such customs duty.
Subscribers should be aware that aside from UAE taxes, there may be taxes in other jurisdictions,
depending on the nationality and the particular circumstances of the investors. These issues are often
complex and if Subscribers are in any doubt, they should consult specialist taxation advisors.
12. GCC Economy Overview
The information stated below has been extracted from publicly available information. The completeness and
accuracy of the information below has not been checked or challenged and reliance thereupon would depend
to a large extent on the methods and statistical research standards used in its compilation and presentation.
(a) GCC Overview
The GCC is a political and economic union comprised of the KSA, UAE, Kuwait, Qatar, Oman, and Bahrain.
With a combined land area of approximately 2.6 million square meters and a GDP of USD 1.6 trillion (Source:
EIU, 2012), it is an economically significant region (Exhibit: 4.2.1, 4.2.2).
Exhibit 4.2.1 Nominal GDP per GCC Country
(USD 1 billion, 2012)

Exhibit 4.2.2: GDP per Capita per GCC Country


(USD 1000, 2012)

Source: EIU, World Bank


The regions GDP growth has exceeded world averages for the past three years. In 2013, the International
Monetary Fund (IMF) estimated GCC GDP growth at approximately 3.7% vs. a world average of 2.9%.
Energy is the most important economic sector in the region and oil revenues account for 80-90% of fiscal
earnings in the KSA, whereas natural gas plays a larger role in Qatar. All GCC states are actively pursuing
economic diversification policies and attempting to increase the share of their non-oil exports. The UAE
and Oman are the furthest along in this regard. In fact, in 2013 Dubais year-on-year real GDP growth was
4.9% with manufacturing, wholesale, retail, restaurants, and hotels being the largest contributors.
Moreover, the importance of the region as an economic and cultural hub has become increasingly evident as
the UAE and Qatar were awarded the rights to host the 2020 World Expo and the 2022 World Cup,
- 50 -

respectively. The economic and cultural implications of these events are substantial, leading to tens of
millions of new visitors, billions of dollars in investment, and significant global visibility.
Economic and political stability are deeply interlinked and in both respects, the GCC continues to fare well.
The waves of protests and uprisings that swept through North Africa and the Middle East in 2011 have
largely spared the GCC states.
The GCC population is estimated at around 50 million people, of which UAE and KSA constitute almost
80% (KSA 31.3 million, UAE 8.3 million). The GCC population is growing in each of the six countries at
rates ranging between 2-4% annually, with the exception of Qatar that is growing at 6.9% and Bahrain at
5.4% (Source: MoH of GCC countries, WHO, World Bank). Generally, GCC countries exhibit a large
number of expatriates.
(b) UAE Overview
The UAE is the second largest economy in the GCC (GDP of USD 384 billion in 20127) and the second
largest GCC nation by population (8.3 million in 2012). The UAE is formed of seven Emirates: Abu Dhabi,
Dubai, Sharjah, Umm Al Qawain, Ajman, Fujairah, and Ras Al Khaimah. The latter five Emirates are
considered part of the Northern Emirates (NE). The UAE population, currently around 8 million, is young
and growing, with the majority comprised of expatriates (83%). The majority of the population is located in
Abu Dhabi (43%) and Dubai (34%), and is expected to continue growing at a CAGR of approximately 3.5%
to reach around 11 million by 2020 (Source: UAE National Statistics Bureau).
As the regional hub for finance, trade, tourism, and transport, the UAEs economy is amongst the most
diversified in the region. For example, in Dubai, wholesale and retail made up 29% of real GDP for H1 2012,
followed by construction and real estate (21%), manufacturing (15%) and restaurants and hotels (5%) (Source:
EIU). The countrys economic policies are expected to focus on maintaining and consolidating this position
over the years to come. To this end, several large scale infrastructure and mega projects are presently
underway. These include the new Al Maktoum International Airport with a target capacity of 160 million by
2030, the Mohammed Bin Rashid City project, the Khalifa Industrial Zone Abu Dhabi (KIZAD), and Masdar
City. In 2013, both Abu Dhabi and Dubai airports saw significant growth in traffic, recording12% and 16%
year-on-year growth respectively. Simultaneously, the federal government is continuing to improve the
business environment to entice foreign investments. To that extent, the new commercial companies law was
a step towards enabling greater investments due to its effects on improving the corporate regulatory regime.
Real GDP growth was estimated at 4.3% in 2013, and is expected to reach 4.4% in 2014 (Source: EIU)
supported by continued growth in non-oil sectors such as construction, manufacturing, trade, transport and
tourism sectors. Moreover, in November 2013, the Bureau of International Expositions announced that
Dubai had won the bid to host the World Expo 2020 which is expected to increase the economys growth
momentum given planned infrastructure projects of USD 6.8 billion, generate 277,000 new jobs, and attract
more than 25 million visitors to the event (Source: EIU).
Despite strong growth, inflation of 1.1% in 2013 stood low by both regional and global standards. It is
anticipated to rise slightly as housing prices and global non-oil commodity prices increase; however, the effect
of these forces will be tempered by continuing subsidies by the government for core goods and services, and
conscious efforts by the government to control the real estate market.
As with its neighbors, the UAE has a stable currency, pegged to the US dollar with an exchange rate of AED
3.67: USD 1.

- 51 -

FIFTH: ADVISORS UNDERTAKINGS CONCERNING THE PROSPECTUS


(a) Undertaking issued by the chairman of the incorporation committee
(b) Undertaking by the Lead Receiving Bank and the Receiving Banks to the following:
i.
that they will comply with the UAE Central Bank resolutions and circulars in
relation to granting loans and finance for acquiring shares of the Company which
is determined at 5-1and that they will not exceed the threshold by any means
whatsoever
ii.
That they will provide the SCA with a daily report on the subscription process
the coverage size during the opening of the subscription.
iii.
That they undertake to refund the oversubscription amounts and their returns
within 5 business days starting the closing of the subscription to the bank account
mentioned in the subscription application and notify the SCA of the completion
of the refund process in writing upon the closure of this period.
(c) Undertaking issued by the financial advisor and offering manager
i.

Undertaking issued by the reporting accountants and IPO subscription auditors

ii.
Undertaking issued by the legal advisor
(d) Undertaking by the Board to disclose for listing purposes on 12/11/2014 as per article 31 of the
SCA Board Resolution No 3 for the year 2000 relating to the Disclosure and Transparency providing
a company whose securities are approved for listing on the Market by the Authority shall, ten days
prior to the date of its listing on the Market, make public, in two daily newspapers of wide circulation
published in the Arabic language in the State, its annual and interim financial statements and a
summary of the board of directors' report submitted for the purposes of listing.
______________________________________________________________________________________
SIXTH: ACKNOWLEDGMENTS ACCOMPANYING THE PROSPECTUS
(a) Undertaking issued by the founders committee
Declaration Of The Founding Committee
Members Of Board Of Directors And The Senior Nominated Directors
We, the member of founding committee, members of board of directors, and the senior executive directors, jointly
and severally, in Amanat Holdings, (A public joint stock company under foundation), hereby acknowledge that:

We have the full commercial legal personality that qualifies us to occupy the posts mentioned in this
declaration.
Neither we, nor any of our first and/or second degree relatives and their dependents and/or related parties,
own any equity in the company's shares except as mentioned in the subscription prospectus; and we have
no direct or indirect interest under a written or verbal agreement, existing or potential, at the time of
preparing this prospectus except as mentioned in the subscription prospectus.
We have no powers that authorize us to borrow from the company or to vote for any remuneration granted
to us without the approval of the general assembly.
The management of the company has no intention to change its main activity or main purposes, or to
change its strategic plans for which it was founded.
Neither we, nor any of our first and/or second degree relatives and their dependents and/or related parties,
have received any commission, discount, brokerage fee, or cash and/or non-cash consideration in
connection with the company's capital before the date of founding the company except as mentioned in
the subscription prospectus.
the Company does not intent, following incorporation, to acquire any assets or businesses owned by a
Board member or to undertake any operations that involve a conflict of interest as between itself and any
of its board members. In case the Company intends to make acquisitions or purchases of assets or
businesses or to undertake any operations that involves a conflict of interest as to between itself and any
of its board members, or in case, the value of the transaction is equal or exceeding 25% of the issued share
capital of the Company, the said transaction will be subject to the general assembly approval. However, in
case there is no conflict of interest, the execution of such transactions falls within the authority of the
- 52 -

Board of Directors of the company, which will undertake all required valuation in accordance with the
international standards to reach the fair value of any transaction.
Founders Committee
Name
Faisal bin Juma Belhoul
Abu Baker Khouri
Khaldoun Haj Hasan
Board Members
Name
Faisal bin Juma Belhoul
Sheikh/ Abdulla Khalifa Al Khalifa
Abdulmonem Rashed A. AlRashed
Sheikh/ Zayed Mohamed Butti Al
Hamed
Kamal Bahamdan
Dr. AbdulMajeed Saif Mohamed
Ameen Alkhajeh
Khalfan Bin Juma Belhoul
Senior Nominated Directors
Name
Khaldoun Haj Hasan
Ranjit Bhonsle
Abhishek Sharma
Karim Ziwar
Kareem Murad
Tharshan Wijeyamohan

Capacity
Chairman
Member
Member

Signature

Capacity
Chairman
Non Executive Board Member
Non Executive Board Member
Non Executive Independent Board
Member
Non Executive Independent Board
Member
Non Executive Independent Board
Member
Non Executive Independent Board
Member

Signature

Capacity
Chief Executive Officer
Chief Operating Officer
Head of Education
Head of Healthcare
Director
Director

Signature

- 53 -

SEVENTH: NOTICE OF CONSTITUTIVE GENERAL ASSEMBLY


Notice of Constitutive General Assembly
The notice set out below is relevant for all Subscribers. It calls for convening the Constitutive General Assembly
meeting at the date, time and place set out in the notice. All Subscribers are entitled to attend and vote at such
meeting. Any voting rights of any Subscriber attending the General Assembly meeting shall correspond to the
number of Shares such Subscribers receives as notified to it at the end of the allotment process.
Notice of Constitutive General Assembly meeting
Date: 20 October 2014
Dear Sir or Madam,
Thank you for applying to purchase shares in Amanat Holdings PJSC (a public joint stock company, under
incorporation in the Emirate of Dubai, United Arab Emirates) (Company).
This is to notify you that in accordance with Article (88) of the UAE Commercial Companies Law No. 8 of 1984
and its amendments, the Founders of the Company are pleased to invite you to attend the first meeting of the
constitutive general assembly which will be held on 13 November 2014 at 10 am at The Address Hotel-Dubai
Mall
If the required quorum for the first meeting is not present, a second meeting will be held at the same venue on 16
November 2014 at 10 am.
If the required quorum is not present for the second meeting, a third meeting will be held at the same venue on
17 November 2014 at 10 am
The agenda of the constitutive general assembly is as follows:

Reviewing and ratifying the founders committees report in respect of the incorporation of the Company
and its related expenses.
Ratifying the Memorandum of Association and Articles of Association of the Company.
Approving the appointment of the first Board of Directors for three years Ratifying the appointment of
the Companys auditor and fixing its fees.
Approving the announcement of the incorporation of the Company and its listing on DFM..

Each shareholder may attend the meeting in person or through an authorized representative . In the event a
representative of the shareholder will attend, he/she shall bring along a written proxy authorizing his/her
attendance on behalf of the original shareholder (attached is a sample proxy). It should be noted that if the proxy
holder is not a shareholder, then the proxy needs to be notarized and the proxy holder should not be one of the
Companys Board members; and the proxy holder should not be representing shares for more than one
shareholder of a value that exceed 5% of the share-capital of the Company .
In case of any change to the dates above, it will be announced through the local newspapers.
Should you attend in person, kindly bring your allotment letter and the original passport. If you are attending
through an authorized representative, your original allotment letter, a certified copy of your passport and your
representative original passport are required.
Yours faithfully,
Founding Committee

- 54 -

Form of Proxy
Proxy for Attending and Voting at the Constitutive General Assembly meeting of Amanat Holdings PJSC
(Under Incorporation)
We/I, the undersigned., in my capacity as the owner of shares in Amanat Holdings
PJSC )Under Foundation ( hereby appoint and authorize pursuant to this proxy Mr./ Ms ( The
Attorney) to attend the Constitutive General Assembly meeting of Amanat Holdings PJSC (Under
Foundation) on my/our behalf . The Attorney shall have the right to vote on all matters discussed in the meeting
whether the meeting was held on its original date or postponed to any other date. The Attorney shall also have
the right to sign all decisions and documents in this regard.
Signature:
______________________
Messers:

Date:

- 55 -

ANNEXURE 1
MEMORANDUM AND ARTICLES OF ASSOCIATION OF THE ISSUER

MEMORANDUM OF ASSOCIATION
OF
Amanat Holdings PJSC
(the Company)


..
)"("

Preamble

In this day _________ of ________ of 2014,


it has been agreed between the signatories
below:

_______

4102 _____________
:

On the following:

This preamble and the Articles of


Association attached hereto are considered
to be an integral part of this Memorandum of
Association.

Article One

According to the Federal Law No 8 of 1984


concerning the Commercial Companies and
amendments thereto, and the annexed
Articles of Association, the undersigned
herein has formed a group with the objective
of establishing a new public joint-stock
company.

0882 ) 8(




.

Article two

The name of the company is "Amanat


Holdings (a public joint stock company)"
herein referred to as the "Company".

" (

." )" "

- 56 -

Article Three

The Company's headquarters and its legal


place of business shall be in Dubai. The
board of directors may establish branches,
offices and agencies in or out side the State.

Article Four

The duration of this Company is (99)


Gregorian years commencing on the date of
the Companys registration at the
commercial register.

) 88(

Thereafter, the duration of the Company


shall be renewed automatically for similar
consecutive terms unless a resolution of the
Extraordinary General Assembly is issued
to dissolve or amend the term of the
Company.

Article Five

The activities for


established shall
the provisions
resolution of the
are:

which the Company is


be in compliance with
of
the laws
and
State. Such activities



.
:

1.

Establishing
educational
projects

2.

The Company may have an


interest
or
may
participate,
cooperate or acquire by all
manners with other entities or
companies in the State or
outside the State, provided that
it exercises activities similar to
its own activities.

and investing in
and
healthcare

- 57 -

.0

.2

Article six

The capital
of the Company is
determined at two billion and five
hundred
million
Dirhams
(AED
2,500,000,000) divided into two billion
and
five
hundred
million
shares
(2,500,000,000 shares), the value of
each share is being one Dirham (AED
1). All the shares of the Company are
cash shares which are fully paid. An
amount of AED0.02 shall be added to
the value of each share as a
subscription fee. All the shares of the
Company shall be equal in all aspects.

( 4.011.111.111
)
( 4.011.111.111)
( )0

1.14
.
.

Article Seven

0.040.111.111 (
) 0.11
( )
( %20 )


1.14

The founders of the Company have


subscribed for 1,125,000,000 shares
(One Billion and Six hundred Fifty
Million shares), valued at AED.1.00
(One Dirham) representing 45% (forty
five percent) of the capital of the
Company, all of which are shares in
cash. All founders have paid the full
amount of their cash shares in addition
to an amount of AED 0.02 per share as
a subscription fee. The shares in cash
have been distributed among the
founders as follows:

.1

..

.2

..

401.111.111

.00%01

401.111.111

.00%01

.3

,.

040.111.111

5.00%

.4

040.111.111

5.00%

.5

..

011.111.111

4.00 %

.6

..

01.111.111

2.00%

- 58 -

.7

21.111.111

0%0.1

.8


..
..

41.111.111

0%1.8

.11

01.111.111

0%0.4

41.111.111

0%1.8

41.111.111

0%1.8

.12

01.111.111

0%1.2

01.111.111

0%1.2

01.111.111

0%1.2

01.111.111

0%1.2

8.111.111

%1.04

0.111.111

%1.4

0.111.111

%1.4

0.111.111

0%1.4

0.111.111

0%1.4

0.111.111

0%1.4

0.111.111

%1.04

4.111.111

%1.18

4.111.111

%1.18

4.111.111

%1.18

4.111.111

%1.18

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%1.12

.9

.11

.13

.14

.15
.16

.17

.18

.19

.21

...

.22

.21

.23

.24

.26

.27



..

.25

.28
.29
.31

..

.31

..

.32

- 59 -

%1.12

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%1.12

0.111.111

%45.00

1.125.111.111

.33

.34

.35

.36

..

.37

Post
IPO

List of Founder Investors


#
1.

Name

3.

Rimco Investments (L.L.C.)


Osool Asset Management BSC
Closed
United Alsaqer Group LLC

4.

Astro AD Cayman Ltd.

5.
6.

Capital Investment - LLC


Abhaar International LLC

7.

Ithmar Capital Holdings Limited

2.

8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.

Badad International Company


Al Nasser Holding Company
AlAbdulKarim, Sami AbdulKarim A
Kassem Alom Zarzur
Yusuffali Musaliyam Veettil Abdul
Kader
Abdulmajid Abdulhamid Dhia Jafar
Alomran, Khalid Abdulrahman M
AlArdi, Mishal Saleh S
Ahmed Habib Ahmed Kassim
Siddiq Mohamed Hussain AlKhoori
Desax Properties Limited
AbdulJalil Yousuf AbdulKarim
Darwish
Michael Pacha
Golden Desert Investment LLC
Nizar Badeh Rajoub
- 60 -

Nationality
UAE

AED
millions
250

10.00%

Bahrain

250

10.00%

UAE
Cayman
Islands
UAE
UAE
Cayman
Islands
KSA
UAE
KSA
Spain

125

5.00%

125

5.00%

100
50

4.00%
2.00%

40

1.60%

30
20
20
20

1.20%
0.80%
0.80%
0.80%

India

10

0.40%

UAE
KSA
KSA
Bahrain
UAE
BVI

10
10
10
8
5
5

0.40%
0.40%
0.40%
0.32%
0.20%
0.20%

UAE

0.20%

France
UAE
Canada

5
5
3

0.20%
0.20%
0.12%

O'ship

23.
24.
25.
26.
27.
28.
29.
30.
31.
32.
33.
34.
35.
36.
37.

Abubaker Seddiq Mohamed Hussain


AlKhoori
AlDereyaan, AlWaleed AbdulRazaq
S
Khaled Abdulla Neamat Mohamed
AlKhoori
Hamad Mohamed Muftah AlShamsi
H.E. Dr. Sultan Ahmed Sultan Al
Jaber
Al Ain Capital LLC
Magna Investment - LLC
Murshed Thani Murshed Ghanam
AlRemeithi
Hameem Investment LLC
Qusai Moh'd Ahmed AlGhussein
Fatema Amer Alhbabi
AbdulHamied Ahmed Qassim
Seddiqi
Naim Mohammad Mustafa AlRadi
Ruya Ltd
Al Mal Capital (P.S.C)
Total

- 61 -

UAE

0.08%

KSA

0.08%

UAE

0.08%

UAE

0.08%

UAE

0.04%

UAE
UAE

1
1

0.04%
0.04%

UAE

0.04%

UAE
Jordan
UAE

1
1
1

UAE

0.04%
0.04%
0.04%
0.04%

Jordan
BVI
UAE

1
1
1
1,125

0.04%
0.04%
0.04%
45.0%

Article Eight

The
founders,
signatories
of
Memorandum of Association, undertake
to
complete
all
of
the
required
procedures for the completion of the
Companys
incorporation.
For
said
purpose, the founders have delegated a
founders
committee
(Founders
Committee) formed of the following
persons :-

1. Mr. Faisal
(chairman)

Bin

Juma

Belhoul

Haj


-: (" ")

) (/ .0

2. Mr. Abu Baker Khouri (member)

3. Mr.
Khaldoun
(member)

) (/ .4

Hasan

) (/ .0

For the purpose of submitting the request


of
authorizing
the
Companys
incorporation and to undertake the legal
procedures and to prepare the required
documents in addition to applying the
modifications that the competent bodies
deem necessary in respect of these Articles
of
Association
or
the
attached
Memorandum of Association.

Article Nine

The Companys expenses incurred due to


its incorporation and issuance of its
securities are, approximately, as follows:-

Lead Receiving Bank

AED 900,000

099.999

Receiving Bank 1

AED 375.000

000.999

Receiving Bank 2

AED 375.000

000.999

Receiving Bank 3

AED 375.000

000.999

Receiving Bank 4

AED 375.000

000.999

Receiving Bank 5

AED 375.000

000.999

Receiving Bank 6

AED 375.000

000.999

Receiving Bank 7

AED 375.000

000.999

- 62 -

AED 375.000

Receiving Bank 8

AED 1,500,000

Backoffice support fees


IPO Processing Fees
related to allocation and
subscription

AED 19,163,750

Lead Manager Fees


Legal Consultation Fees
Auditor Fees

000.999

1.099.999

10.160.009

0.600.999

AED 3,675.000

1.099.892

AED 1,900,802

1.629.999

AED 1.620.000

Consultation

0.999.999

AED 5,000,000

Advertising Expenses and


PR campaign


(
)

2.209.999

AED 2,250,000

Typing
Expenses
(including printing and
)translation fees


(

("")

)

119.999

AED 110,000

Government
Fees
(
Securities
and
Commodities
Authority
(SCA) Fees + DFM
)Listing Charges

00.404.022

AED 39,494,522

Total:

Strategy
Fees

Said expenses shall be deducted from the


general expenses account.

Article Ten

In case of a discrepancy between the Arabic


and the English text, the Arabic text shall
prevail.

- 63 -

Article Eleven

This Memorandum of Association is made of


six (6) originals for the purpose of
notarization and submission to relevant
authorities to incorporate the Company. One
original shall be kept in the Companys
headquarters.

) 1 (

.

- 64 -

The Articles of Association


Of
Amanat Holdings
(Public Joint-Stock Company)



) (

PART ONE

ESTABLISHING THE COMPANY


Incorporated between the holders of the
shares shown below as a joint stock
company in accordance with federal law
number 8 of 1984 concerning commercial
companies law and amendments thereof
and in accordance with this Articles of
Association

) 8(
4881

Article 1

Article 1
The name of the company is "Amanat
Holdings (a public joint stock company)"
herein referred to as the "Company".

") " (
." "

Article 2
The head office of the Company and its
legal place of business shall be in the
Emirate of Dubai. The Board of Directors
may establish branches, offices and
agencies for the Company inside and
outside the State.

Article 3
The fixed term of the Company shall be
(99) ninety nine Gregorian years
commencing from the date the Company
is registered in the commercial register.

) 88(

Such term shall be automatically renewed


for similar successive terms unless a
resolution of the Extraordinary General
Assembly is issued to amend the term of
the Company or terminate the same.

- 65 -

Article 4
The objects that the Company is
established for shall be in compliance with
the provisions of the laws and regulations
in force in the State.
The objectives of the Company are as
follows:
a.

Establishing and investing


in
educational
and
healthcare projects

b. The Company may have an interest


or may participate, cooperate or
acquire by all manners with other
entities or companies in the State or
outside the State, provided that it
exercises activities similar to its
own activities.

:
.

PART TWO

THE CAPITAL OF THE COMPANY

Article 5

The capital of the Company is determined at


two billion and five hundred million
Dirhams (AED 2,500,000,000) divided into
two billion and five hundred million shares
(2,500,000,000 shares), the value of each
share is being one Dirham (AED 1). All the
shares of the Company are cash shares
which are fully paid. An amount of
AED0.02 shall be added to the value of each
share as a subscription fee. All the shares of
the Company shall be equal in all aspects.

) 0.022.222.222(

) 0.022.222.222(


) 4(

. 2.20

Article 6

4.400.222.222

The founders of the Company have


subscribed for 1,125,000,000 shares (One
Billion and Six hundred Fifty Million
shares), valued at AED.1.00 (One Dirham)

( )
%10 ( ) 4.22
- 66 -

( )

representing 45% ( fourty five percent) of


the capital of the Company, all of which are
shares in cash. All founders have paid the
full amount of their cash shares in addition
to an amount of AED0.02 per share as a
subscription fee. The shares in cash have
been distributed among the founders as
follows:


2.20
:

..
.1

002.222.222

%42

.2 ..

002.222.222

%42

.3 ,.

400.222.222

%0

.4

400.222.222

%0

.5 ..

422.222.222

%1

.6 ..

02.222.222

%0

.7

12.222.222

%4.1

.8 ..

02.222.222

%4.0

.9 ..

02.222.222

%2.8

.11

02.222.222

%2.8

.11

02.222.222

%2.8

.12

42.222.222

%2.1

.13

42.222.222

%2.1

.14

42.222.222

%2.1

.15

42.222.222

%2.1

.16

8.222.222

%2.00

.17

0.222.222

%2.0

.18

0.222.222

%2.0

- 67 -

.19

0.222.222

%2.0

.21

0.222.222

%2.0

.21 ...

0.222.222

%2.0

.22

0.222.222

%2.40

.23

0.222.222

%2.28

.24

0.222.222

%2.28

.25

0.222.222

%2.28

.26

0.222.222

%2.28

4.222.222

%2.21

.28 ..

4.222.222

%2.21

.29 ..

4.222.222

%2.21

.31

4.222.222

%2.21

.31 ..

4.222.222

%2.21

.32

4.222.222

%2.21

.33

4.222.222

%2.21

.34

4.222.222

%2.21

.35

4.222.222

%2.21

.36

4.222.222

%2.21

.37 ..

4.222.222

%2.21

.27

%45.00 1.125.111.111

Post IPO

Confirmation

O'ship

AED millions

List of Founder Investors


Nationality

Name
- 68 -

1.
3.

Rimco Investments (L.L.C.)


Osool Asset Management BSC Closed
United Alsaqer Group LLC

4.

Astro AD Cayman Ltd.

5.
6.

Capital Investment - LLC


Abhaar International LLC

7.

Ithmar Capital Holdings Limited

2.

8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.
32.
33.
34.
35.
36.
37.

UAE
Bahrain
UAE
Cayman
Islands
UAE
UAE
Cayman
Islands
KSA
UAE
KSA
Spain
India
UAE
KSA
KSA
Bahrain
UAE
BVI
UAE
France
UAE
Canada

Badad International Company


Al Nasser Holding Company
AlAbdulKarim, Sami AbdulKarim A
Kassem Alom Zarzur
20
Yusuffali Musaliyam Veettil Abdul Kader
10
Abdulmajid Abdulhamid Dhia Jafar
Alomran, Khalid Abdulrahman M
AlArdi, Mishal Saleh S
Ahmed Habib Ahmed Kassim
Siddiq Mohamed Hussain AlKhoori
Desax Properties Limited
AbdulJalil Yousuf AbdulKarim Darwish
Michael Pacha
Golden Desert Investment LLC
5
Nizar Badeh Rajoub
3
Abubaker Seddiq Mohamed Hussain
UAE
2
AlKhoori
AlDereyaan, AlWaleed AbdulRazaq S
KSA
2
Khaled Abdulla Neamat Mohamed AlKhoori
UAE
Hamad Mohamed Muftah AlShamsi
UAE
H.E. Dr. Sultan Ahmed Sultan Al Jaber
UAE
1
Al Ain Capital LLC
UAE
Magna Investment - LLC
UAE
Murshed Thani Murshed Ghanam
UAE
AlRemeithi
Hameem Investment LLC
UAE
Qusai Moh'd Ahmed AlGhussein
Jordan
Fatema Amer Alhbabi
UAE
AbdulHamied Ahmed Qassim Seddiqi
UAE
Naim Mohammad Mustafa AlRadi
Jordan
Ruya Ltd
BVI
Al Mal Capital (P.S.C)
UAE
Total

250
250
125

10.00%
10.00%
5.00%

125

5.00%

100
50

4.00%
2.00%

40

1.6%

30
20
20

1.2%
0.80%
0.80%
0.80%
0.40%
0.40%
0.40%
0.40%
0.32%
0.20%
0.20%
0.20%
0.20%
0.20%
0.12%

10
10
10
8
5
5
5
5

0.08%
0.08%
0.08%
0.08%
0.04%
1
0.04%
1
0.04%
2
2

0.04%

1
1
1
1
1
1
1
1,125

0.04%
0.04%
0.04%
0.04%
0.04%
0.04%
0.04%
45.0%

070.071117111

The remaining shares in cash amounting to


1,375,000,000 shares (Three Billion three
hundred eight hundred and fifty million
shares), having a nominal value of AED.
1.00 (One Dirham), representing 55%

( )

( ) 0711
- 69 -

%00 1710

(fifty five percent) of the share capital of


the Company shall be offered to the public
in addition to an amount of AED 0.02 per
share as a subscription fee.

( )
.

) 68(

In accordance with the provisions of


Article (86) of the Law, the capital
deposited with National Bank of Abu
Dhabi in the name of the Company may
not be withdrawn without a decision of
the Board of Directors upon the
registration of the Company in the
Commercial Register.

Article 7

All the shares in the Company are


nominal. The percentage of GCC
Nationals participating at any time during
the existence of the Company should not
be less than 51 % of the share capital.
Article 8


. %00
8
. %011

100% of the total nominal value of the


shares shall be paid on subscription.

Article 9

In the event of non-payment of the full


nominal value of the shares at
incorporation, the remaining value must
be paid during a maximum of 5 (Five)
years as of the registration of the
Company in the commercial register,
within the dates and by the means
resolved by the Board of Directors,
provided that publication of said dates are
made in two local newspapers issued in
the Arabic language at least 15 (Fifteen)
days prior to said dates. Any payment due
on the shares and which is not settled in its
due date shall bear an interest in favour of
the Company at a rate of EIBOR plus 300
basis points (bps) % per year to be accrued
at maturity until its payment. The Board of
Directors may seize the share by warning

011
.

- 70 -

the shareholder who delayed the


payment, through registered courier, to
pay the due installment within 30 (Thirty)
days. In the event that the shareholder
does not settle the accrued installment
within the said period, the Board of
Directors may, upon the approval of the
Authority and the Market, sell the share in
a public auction on behalf of the
shareholder and under the latters
responsibility without the need of any
legal notification or undertaking any legal
procedures. The company shall reimburse
its debt with the interest and other
expenses in priority to all the other
debtors and the remaining amount shall
be returned to the shareholders. In the
event that the sale amount is insufficient,
the Company is to file recourse against the
shareholder to recover the remaining
amount on his personal monies. The
Company shall cancel the shares which
are sold through the abovementioned
manner, provided that they deliver new
shares to the purchasers in return of the
cancelled ones and which shall bear the
same numbers of the cancelled shares, in
addition to the inscription in the
Shareholders Register of the said sale and
stating the name of the new owner.



.

.

11

Article 10

The shareholders shall only be liable for


the Company's liabilities and losses in
proportion to the number of shares held
by each one of them. Such liabilities may
only be increased pursuant to the
unanimous approval of the shareholders.

11

Article 11

- 71 -

Ownership of any share in the Company


shall be deemed an acceptance by the
shareholder to be bound by these Articles
and the resolutions of the Companys
General Assemblies. A shareholder may
not request a refund for amounts paid to
the Company in consideration of his/her
shareholding in the capital.

.
.

Article 12

12

Without prejudice to the regular capital


increase procedures stipulated below in
this articles, and If the laws enforceable
in the UAE are amended to permit ethe
implementation of employee share
option plan or with the approval of SCA
, and for the purpose of encountering
excellent and diligent performance by
the Companys employees and attracting
able and efficient employees to work in
the Company, the Companys board
shall have the right to implement one or
more employee share option plans
subject to these terms:

A. The share capital of the Company


may be increased by no more than
20% of the paid up capital in any five
year period for the purpose of
establishing and implementing such
employees share option plans.
B. The number and terms upon which
any such shares allocated to establish
or implement any such employee
share option plans shall be determined
by the Board from time to time which
the terms and conditions of the
allocation must be approved by SCA.
C. With the exception of the executive
directors who are employees of the
Company including the Managing
Director and/or the Chief Executive
Officer, Directos may not participate
in the employee share option plans
unless permitted by law or the

%01



- 72 -

regulations or policies of the UAE


competent authorities.

D. Future issues of shares to establish or

implement share option plans may not


be made unless duly approved by the
shareholders of the Company under
Article 137 or the Commercial
Companies Law unless the legal
requirement is removed.

00.

13

Article 13
The shares are not divisible (i.e. shares
may not be divided among more than
one person).

(
.)
14

Article 14
Each share shall entitle its holder to a
proportion equal to that of other
shareholders without distinction (i) in
the ownership of the assets of the
Company upon dissolution, (ii) in the
profits as stated hereinafter, (iii) in
attending the General Assembly
meetings and (iv) in voting on the
resolutions thereof.


()
) () (
()
.

15

Article 15
a.

The Company shall, within (15)


business days of issuing the
Ministerial Resolution declaring the
incorporation of the Company, list
its shares on a licensed financial
market in the State. The Board of
Directors may list the shares with
other financial markets abroad.
When the shares of the Company
are listed with financial markets in
the State or abroad, the Company
must abide by the laws, rules and
regulations applicable in such
markets including the laws, rules

) 00(


.
.


- 73 -

and regulations relating to the


issuance and registration of the
Companys shares, trading of those
shares and transfer of title thereof
and any rights arising therefrom
without the need to amend these
Articles where their provisions are
contradictory to those of the
applicable laws and regulations.
b.

c.

The Companys shares may be sold,


transferred, pledged, or otherwise
disposed of in accordance with the
provisions of these Articles and all
such transactions shall be registered
in a special register referred to as
the Shareholders Register7 Upon
listing the Companys shares on a
licensed financial market in the
State, such transactions shall be
registered in accordance with the
regulations for selling, purchasing,
clearing, settling and recording
regulations applicable in such
market.
In the event of a death of a
shareholder, his/her heirs shall be
the only persons to be approved by
the Company as having rights or
interests in the shares of the
deceased shareholder. Such heir
shall be entitled to dividends and
other privileges which the deceased
shareholder had. Such heir, after
being registered in the Company in
accordance with these Articles,
shall have the same rights in his/her
capacity as a shareholder in the
Company
as
the
deceased
shareholder had in relation to such
shares. The estate of the deceased
shareholder shall not be exempted
from any obligation regarding any
share held by him/her at the time of
death.

" "





.

.

- 74 -

d.

Any person who becomes entitled


to rights to shares in the Company
as a result of the death or
bankruptcy of any shareholder, or
pursuant to an attachment order
issued by any competent court of
law, should within thirty days:

produce evidence of such


right to the Board of
Directors; and

Select either to be registered


as a shareholder or to
nominate another person to
be
registered
as
a
shareholder of the relevant
share.

16

Article 16
When the Company completes the listing
of its shares on any of the licensed
financial markets in the UAE, it shall
replace the share register system, the
temporary shares certificates and the
applied system of its ownership transfer,
with an electronic system for the
registration of the shares and transfers
thereof as applicable in such market. The
data electronically recorded therein are
final and binding and cannot be
challenged, transferred or altered except
in accordance with the regulations and
procedures followed in such market.

- 75 -

Article 17

17

A shareholders heirs or creditors may


not, for whatsoever reason, request the
attachment of the Company's books or
assets. They also may not request to
divide those assets or sell them in one lot
because the shares are not divisible, nor
to interfere in any way whatsoever in the
management of the Company. Those
heirs and creditors must, when
exercising their rights, rely on the
Companys books, inventories, balance
sheets and resolutions of the General
Assembly.
Article 18

The Company shall pay dividends on


shares to the last holder of such shares
whose name is registered in the Share
Register on the date specified by the
General Assembly for distributing said
profits, in compliance with the
regulations and decisions issued by the
Authority. Such holder shall have the
sole right to the profits due on those
shares whether these profits represent
dividends or entitlements to part of the
Companys assets7

18

.

.

19

Article 19
Subject to the provisions of the Law, the
share capital of the Company may be
increased by issuing new shares of the
same nominal value as the original
shares or of the same nominal value plus
a premium. The share capital of the
Company may also be reduced after
obtaining the approval of the Authority.
New shares may not be issued at less
than the nominal value thereof. If such
shares are issued at a premium, such
premium shall be added to the legal

- 76 -

reserves even if, by doing so, the legal


reserves exceed half of the share capital.

Increase or a reduction of the share


capital shall be resolved by a resolution
of the Extra Ordinary General Assembly,
pursuant to a recommendation of the
Board of Directors in both cases, and
after reviewing the auditors report in
case of a reduction. In the case of an
increase, the resolution must state the
amount of the increase, the value of the
shares issued and any preemption rights
to existing shareholders. In the case of a
decrease in the share capital, the
resolution must state the amount of
decrease and the method of its
implementation.

PART THREE
LOAN DEBENTURES


.
.

Article 20

02

Subject to the provisions of the Law, the


Extra Ordinary General Assembly may
resolve, after obtaining the approval of
the Authority and the Competent
Authority, to issue bonds of any nature.
The resolution shall determine the value
of the issue, the terms of issuance and
their convertibility into shares. The
General Assembly may also resolve to
delegate the Board of Directors to
determine the date and conditions of
said issuing as deemed appropriate by
the Board of Directors, provided that the
debt is reflected in the commercial
register, in addition the Authority and
the Competent Authority shall be
notified.




.
.

- 77 -

PART FOUR
BOARD OF DIRECTORS

Article 21

02

The Company shall be managed by a


Board of Directors consisting of Nine (9)
Board Directors to be elected by an
Ordinary General Assembly via secret
Cumulative Voting.

)9(

In all cases, the majority of the Board


Directors, including the Chairman, must
be UAE Nationals.

Save for the aforementioned method of


appointment,
the
founders have
appointed the following first Board of
Directors for a period of 3 (Three) years
commencing as of the issuance of the
Minister of Economy Resolution
declaring the Companys incorporation:

Mr. Faisal Bin Juma Belhoul


Chairman- UAE National;
Sheikh/ Abdulla Khalifa Al Khalifa Non Executive Board Member Bahrain National;
Mr. Abdulmonem Rashed A. AlRashed
Non Executive Director of the Board KSA National
Sheikh/ Zayed Bin Mohamed Bin Butti
Al
HamedNon
Executive
Independent Board Member - UAE
National;
Mr. Kamal Bahamdan - Non Executive
Independent Board Membe r- KSA
National;
Dr. AbdulMajeed Saif Mohamed
Ameen Alkhajeh - Non Executive
Independent Board Member - UAE
National; and

) 0(

-:

/
/
-
/
-
- /
-
- /
-
- /
-
- /
. -

Mr. Khalfan Bin Juma Belhoul Non


Executive Independent Board Member
- UAE National.

- 78 -

00

Article 22
Every Board Director shall hold his/her
function for a term of three years. At the
end of such term, the Board of Directors
shall be reconstituted. Board Directors
whose term of office is completed may be
re-elected.
The Board of Directors may appoint
Board Directors to fill the positions that
become vacant during the year provided
that such appointment is presented to the
Ordinary General Assembly in its first
meeting to ratify such appointment or to
appoint other Board Directors. If the
positions becoming vacant during any
one year reach or exceed one quarter of
the number of the Board Directors, the
Board of Directors must call for an
Ordinary General Assembly to convene
within maximum three months from the
date of the last position becoming vacant
in order to elect new Board Directors to
fill the vacant positions. In all cases, the
new Board Director shall complete the
term of his predecessor and such Board
Director may be re-elected once again.
Article 23
a. The Board of Directors shall elect,
from amongst its members, a
chairman and a vice-chairman. The
chairman shall represent the
Company before the courts and
shall execute the resolutions
adopted by the Board of Directors.
The vice- chairman shall act on
behalf of the chairman in his/her
absence or if the latter is otherwise
incapacitated.
b. The Board of Directors may elect
from amongst its members one or
more managing director(s) whose
powers and remunerations are to be

.
.

02

.


- 79 -

determined by the Board of


Directors. Furthermore, the Board
of Directors may form from its
members, one or more committees,
giving it some of its powers or to
delegate it to manage the business
performance of the Company, and
to execute the Board of Directors
resolutions.

Article 24

02

The Board of Directors shall have all the


powers to manage the Company and the
authority to perform all deeds and acts
on behalf of the Company to the extent
permitted by the Company and to carry
out all the functions required by its
objects. Such powers and authorities
shall not be restricted except as
stipulated in the Law, the Memorandum
of Association, these Articles or as
resolved by the General Assembly. The
Board of Directors is further hereby
expressly authorized for the purpose of
Article (103) of the Companies Law to
conclude any loan agreements for
periods in excess of three years, to sell or
mortgage the Company's real estate or
other assets, to release the Company's
debtors and to conduct conciliation and
arbitration and to file lawsuits and to
settle the same.

The Board of Directors shall issue


regulations relating to administrative
and financial affairs, personnel affairs
and their financial entitlements. The
Board of Directors shall also issue
regulations to organize its business,
meetings and allocation of its authorities
and responsibilities.

) 190(

.

.

- 80 -

Article 25

02

The chairman, vice-chairman, managing


director or any other authorized Board
Director acting within the limits granted
to him by the Board of Directors may
severally sign on behalf of the Company.

Article 26

02

The Board of Directors shall hold a


minimum of 6 (six) meetings each year
and shall hold its meetings at the head
office of the Company, or at any other
place the Board Directors calling for the
meeting shall agree upon.

) 6(

Article 27

02

Meetings of the Board of Directors shall


not be valid unless attended by a
majority of the Board Directors. A Board
Director may appoint another Board
Director to vote on his/her behalf. In such
a case, such Board Director shall have
two votes. A Board Director may not act
on behalf of more than one Board
Director.

The resolutions of the Board of Directors


are adopted by a majority of the votes of
the Board Directors present or
represented.
In case of a tie, the
chairman or the person acting on his/her
behalf shall have a casting vote.

The details of the items discussed in a


meeting of the Board of Directors or its
committee(s) and decisions thereof,
including any reservations or any
dissenting opinions, shall be recorded in
the minutes of such meetings provided
all the Board Directors present sign the
draft minutes prior to endorsement.
Copies of the said minutes of meeting
shall be sent to the Board Directors
following endorsement for their records.

.
.

.

.

.

.


- 81 -

The minutes of meetings of the Board of


Directors or its committee(s) shall be
kept with the secretary of the Board of
Directors. In the event that a Board
Director refuses to sign, his/her refusal,
with reasoning thereof, should be noted
in the minutes.

Article 28

02

In case a Board Director has a conflict of


interest with respect to a specific matter
scheduled for review by the Board of
Directors and the Board of Directors has
deemed same to be material, the Board of
Directors must resolve on such matter
before the presence of a majority of
Board of Directors with the Board
Director in conflict being barred from
voting on same.

Article 29

02

If a Board Director is absent for more


than three successive Board of Directors
meetings without an excuse approved by
the Board of Directors, such Board
Director shall be deemed to have
resigned.

Article 30

22

The Board of Directors may appoint one


or more manager(s), or authorized
attorneys for the Company and
determine
their
authorities,
the
conditions of their engagement, their
salaries and remunerations. The General
Manager of the Company is not allowed
to be a general manager of another
company.

Article 31

22

Without prejudice to the provisions of


Article (32) herein, the Board Directors
shall not be personally liable or obligated
for the liabilities of the Company as a

) 00(

- 82 -

result of their performance of their duties


as Board Directors to the extent that they
have not exceeded their authority.

Article 32

20

The chairman and the Board Directors


shall be held liable towards the
Company, the shareholders and third
parties for all acts of fraud, abuse of their
delegated powers, and for any breach of
the Law or these Articles.

- 83 -

PART FIVE
THE GENERAL ASSEMBLY

Article 33

22

A duly convened General Assembly


shall represent all the shareholders and
shall be convened in the Emirate of
Dubai.

Article 34

22

Each shareholder shall have the right to


attend the General Assembly of the
shareholders and shall have a number of
votes equal to the number of his/her
shares.

A shareholder may appoint a proxy who


must not be a Board Director to attend
the General Assembly on his behalf by
virtue of a written special power of
attorney. Such proxy shall not, in such
capacity, represent more than 5% five
percent of the share capital of the
Company.

Shareholders lacking legal capacity shall


be
represented
by
their
legal
representatives.

Individuals representing juristic entities


are exempted from the foregoing
percentile limitation.

Article 35

22

1.

The founders, within thirty days


from the date of closing of
subscription, shall call all the
shareholders for the Constitutive
General Assembly by announcing
for the same in two daily local
newspapers issued in Arabic and
by registered mail at least 14
(fourteen) days beforehand.

) %0(
.


)01(

.
- 84 -

.0

2.

3.

The quorum for the first round of


the Constitutive General Assembly
shall be (75%) of the subscribed
shares. If the quorum is not met in
the first meeting, the founders
shall call for a second meeting
within seven (7) days from the date
of the first meeting. The second
meeting shall be valid if the
holders of half of the subscribed
shares attend or attended by
proxy. If the quorum of the second
meeting
is
not
met,
the
shareholders may request for the
dissolution of the company or to
call for a third meeting within 15
days from the date of the second
meeting and the quorum shall be
whatever
the
number
of
shareholders attending the third
meeting.

The
Constitutive
Assembly shall, in
deliberate on the
matters:

a.

b.

c.

d.

General
particular,
following

) %.0(
.

) .(
.

.


) 00(

.

Report prepared by the


founders on incorporation of
the Company, the costs
incurred therefrom and the
subsription fees.

Electing the members of the


first Board of Directors and
appointing the auditors.

Approving the evaluation of


the shares in kind, if any.

Announcing
establishment
Company.

of

.0

. .

the
the

- 85 -

.0

Article 36

22

Invitations to the shareholders to attend


the Ordinary General Assembly shall be
by announcement in two daily local
newspapers, issued in Arabic, and by
registered mail at least 21 days before the
date set for the meeting after obtaining
the approval from the Authority and
submitting a copy of the draft balance
sheet and the final accounts of the
Company. The invitation should contain
the agenda of the General Assembly
meeting. A copy of the invitation shall be
sent to the Competent Authority.

Article 37

22

An Ordinary General Assembly shall be


called by:
1.

2.

3.

4.


.

.

The Board of Directors at least once


annually during the four months
following the end of the financial
year.

The Board of Directors, whenever it


deems same fit, or upon a request
of the auditor or if at least ten
shareholders holding not less than
30% of the share capital, with due
cause, requesting a meeting, then
the Board of Directors shall call for
an Ordinary General Assembly
within 15 days from the date of
submitting the request.

.0

.
.0

) %01(

00
.

The auditor, directly, if the Board of


Directors fails to send the invitation
within fifteen days from the date of
the request for a meeting submitted
by the auditor.

The Ministry, after discussions


with the Competent Authority, in
the following circumstances:

.0

- 86 -

.1

a.

b.

c.

d.

e.

The lapse of 30 days after the


fixed date for the meeting to
be held (i.e. four months after
the end of the financial year)
without the Board of Directors
sending an invitation;

.
(

If the number of Board


Directors is less than the
minimum required for its
quorum;

Discovery of any violation of


the Law, these Articles or any
defect in the management of
the Company;

If the Board of Directors fails


to call for a meeting of the
General Assembly despite the
call
from
shareholders
representing 30% of the share
capital of the Company; and

If a number of shareholders
owning less than 30% of the
share capital of the Company
requested a meeting of the
General Assembly.

) % 01(

. ) % 01 (

Article 38

22

The following matters shall be included


on the agenda of the Annual General
Assembly:

1.

2.

Reviewing and approving the


report of the Board of Directors on
the activity of the Company, its
financial standing throughout the
year and the report of the auditor.
Discussing and approving the
financial
statements
of
the
Company.

.0


.
.

- 87 -

.0

3
Electing the members
of the Board
of Directors . when necessary,
appointing
auditors
and
determining their fees if not
determined in these Articles.

1

.

.0

4.

Reviewing the recommendations of


the Board of Directors regarding
distribution of profits.

0

.
.

.1

5.

Discharging the Board Directors


and the auditor from liability or to
resolve filing a liability claim
against them, as the case may be.

8
.

.0

3.

Article 39

22

Shareholders who wish to attend the


Ordinary and Extraordinary General
Assembly shall register their names in
an electronic register made available by
the Management of the Company at the
meeting place within ample time before
the meeting. The register shall include
the name of the shareholder, or his
representative, the number of shares he
holds or represents and the names of the
represented shareholders and the
appropriate proxies. The shareholder or
the proxy shall be given a card to attend
the meeting, which shall state the
number of votes held or represented by
him/her. An extract of this register
showing the number of shares
represented at the meeting and the
percentage of attendance shall be
printed and attached to the minutes of
the General Assembly after being signed
by the chairman of the meeting, the
secretary and the auditor of the
Company.

Registration shall close at the time when


the chairman announces whether or not
the quorum for such meeting has been
met. No registration of any shareholder



- 88 -

or proxy shall be accepted thereafter and


votes of those late shareholders or
proxies would not count and their views
would not be taken into account in that
meeting.

Article 40

22

The register of the shareholders of the


Company shall be closed in accordance
with the procedures for transacting, setoff, settlement, transfer of title, custody
of securities and the relevant rules
prevailing in the relevant financial
market where the shares of the
Company are listed.

Article 41

22

The provisions of the Law shall apply to


the quorum required for convening any
type of General Assembly and to the
required majority to adopt resolutions
therein.

Article 42

20

The General Assembly shall be chaired


by the chairman of the Board of
Directors. In the absence of the
chairman, the vice-chairman or a Board
Director appointed by the Board of
Directors for that purpose shall chair the
meeting.

If the said individuals are not present,


the General Assembly shall appoint one
of the shareholders to chair the meeting
and shall also appoint a secretary for the
meeting.

The chairman shall appoint a teller for


the meeting provided that such
appointment is ratified by the General
Assembly.

The Company shall keep minutes of the


meetings of the General Assembly and
register attendance in special books to be


- 89 -

kept for this purpose and signed by the


chairman of the relevant meeting, the
secretary, the tellers and the auditors.
The individuals who sign the minutes of
the meeting shall be held liable for the
accuracy of information contained
therein.

Article 43

22

Voting at the General Assembly shall be


in accordance with the procedure
specified by the chairman of the
assembly unless the General Assembly
specifies another voting procedure. If
the subject of the vote relates to the
appointment,
dismissal
or
accountability of the Board Directors,
voting should be by secret Cumulative
Voting so that each shareholder has a
number of votes equals the number of
shares he holds whether voting those
shares was made in favor of one or
several candidates as the shareholders
elects, provided that, in all events, the
number of votes given to choosen
candidates does not exceed the number
of shares held .

Article 44

22

A shareholder having the right to attend


the General Assembly personally or by
proxy may not participate in voting on
matters related to a personal benefit or
an existing dispute between such
shareholder and the Company.

Article 45

22

1.

The
Extraordinary
General
Assembly shall be held pursuant to
an invitation from the Board of
Directors. The Board of Directors
shall issue such an invitation when
so requested by shareholders
holding not less than 40% of the
share capital of the Company. If the

.






.

.

) % 11(
.
- 90 -

.0

2.

Board of Directors fails to send the


invitation within 15 days from the
date of such request, the applicants
may request the Authority to call
for the meeting after discussion
with the Competent Authority.

The
Extraordinary
General
Assembly shall not be valid unless
shareholders representing at least
75% of the share capital of the
Company attend the meeting. If the
quorum is not met, a second
meeting shall be called to be held
within 30 days following the first
meeting. The second meeting shall
be deemed valid if shareholders
representing half of the share
capital of the Company attend. If
such quorum is not met in the
second meeting, a call shall be
given for a third meeting, to be held
after the expiry of 30 days from the
date of the second meeting. The
third meeting shall be valid
regardless of the number of the
shareholders
attending.
Resolutions passed in the third
meeting shall not be enforceable
without the approval of the
Competent Authority.

.

.

22

Article 46
The Extraordinary General Assembly
shall deliberate on the following issues:

.0

1.

Increase or reduction of the share


capital.

.0

2.

Dissolution of the Company or its


merger with another company.

.0

3.

Sale or otherwise disposing of the


business venture of the Company.

.0

Extension of the term of the


Company.

4.

- 91 -

.1

5.

Amendment to the Memorandum


of Association or these Articles,
subject to the following restrictions:

a.

The amendment should not


increase the shareholders
obligations;

The amendment should not


cause the change of the initial
objects of the Company; and

The amendment should not


cause transfer of the head
office out of the State.

b.

c.

.
22

Article 47
The owners of shares registered on the
working day preceding the holding of
the General Assembly of the Company
shall be deemed to be the holders of the
right to vote in that Companys General
Assembly.

.0

Article 48

22

The resolutions of the Extraordinary


General Assembly are issued by the
majority of shares represented in the
meeting, unless the resolution is related
to the increase or decrease of the capital
of the Company, to extend or shorten its
duration or liquidating it prior to the
predetermined date in these Articles of
Association or to merge the Company
into another company or to convert it, in
such cases the resolution shall be invalid,
unless it was passed by the majority of
three quarters of the shares represented
in the meeting7 The General Assemblys
resolution is binding on all shareholders
including the absent and disagreeing
shareholders. The Chairman of the
Board of Directors is to execute the


.
- 92 -

resolutions of the Extraordinary General


Assembly and send a copy of them to the
Authority and the Competent Authority
within 15 days as of their issuance.
Article 49

22

Subject to the provisions of Article 129 of


the Law, the General Assembly may not
deliberate on any matters other than
those included in the agenda attached to
the invitation for the meeting. However,
the General Assembly has the right to
discuss serious matters that may be
revealed during such meeting.

) 009(

PART SIX
AUDITORS

Article 50

22

The Company shall have one or more


auditor(s) appointed by the General
Assembly for a renewable term of one
year upon nomination by the Board of
Directors. The fees of such auditor shall
be determined by the General Assembly.
Such auditor shall monitor the financial
accounts for the year for which he was
appointed. Such auditor should be
registered with the Ministry and be
licensed to practice.

Save for the aforementioned, the


founders have appointed KPMG as the
first auditor of the Companys accounts,
where he shall engage in performing his
task until the Constitutive General
Assembly is convened.

Article 51

22

An auditor should be independent from


the Company and the Board of Directors
and should not be a business partner,
agent or relative (up to the fourth
degree) of any of the founders or Board

- 93 -

Directors. The Company must take


reasonable steps to verify the
independence of the external auditor
and that its function excludes any
conflict of interest.

20

Article 52
The auditor shall have the authorities
and the obligations provided for in the
Law. Such auditor must particularly
have the right to review, at all times, all
the
Company
books,
records,
instruments and all other documents of
the Company. The auditor has the right
to request clarifications as he deems
necessary for the performance of his
duties and he may investigate the assets
and liabilities of the Company. If the
auditor is unable to perform these
authorities, he must confirm that in a
written report to be submitted to the
Board of Directors. If the Board of
Directors fails to enable the auditor to
perform his duties, the auditor must
send a copy of the report to the
Authority, the Competent Authority and
the General Assembly.

Article 53

22

The auditor must submit to the Ordinary


General Assembly a report containing
all the particulars stated out in Article
150 of the Law. The auditor must attend
the General Assembly to present his/her
report to the Shareholders clarifying any
interference or difficulties from the
Board of Directors during their
performance of their duties, to issue an
independent and unbiased report and to
present his opinion concerning all
matters related to his duties, particularly
the Companys balance sheet, its
financial positions and any violations
thereto.



.) 001(

- 94 -

The auditor, who acts in the capacity of


an agent of the shareholders, shall be
liable for the accuracy of the particulars
stated in his report. Each shareholder
may discuss the report of the auditor and
request for clarifications on matters
included therein during the meeting of
the General Assembly.

PART SEVEN
THE FINANCE OF THE COMPANY


22

Article 54
The Board of Directors shall maintain
duly organized accounting books which
reflect the accurate and fair position of
the Companys financial status in
accordance with generally acceptable
accounting principles internationally
applied. No shareholder will be entitled
to inspect those books unless a specific
authorization to this effect is obtained
from the Board of Directors.
The financial year of the Company shall
start on the first day of January and shall
end on the last day of December of every
year. Save for the aforementioned, the
first financial year shall commence as of
the date of inscription of the Company in
the commercial register and shall end at
the ending of the financial year that
follows.

- 95 -

22

Article 55
The Board of Directors must prepare an
audited balance sheet and profit and loss
account for each financial year at least
one month before the annual ordinary
General Assembly. The Board of
Directors must also prepare a report on
the Companys activities during the
financial year, its financial position at the
end of the same year and the
recommendations on distribution of the
net profits. A copy of the balance sheet,
profit and loss account, the report of the
auditor and report of the Board of
Directors shall be sent to the Authority
attached with the agenda of the Annual
Ordinary General Assembly for the
Authoritys approval on publishing the
invitation in the daily newspapers
twenty one (21) days before the date
specified for holding the meeting.

Article 56

22

The Board of Directors shall deduct a


percentage of the annual gross profits for
the depreciation of the Companys assets
or for compensation for the depletion in
their value. These amounts shall be
utilized upon the decision of the Board
of Directors and should not be
distributed to the shareholders.




.
22

Article 57
The annual net profits of the Company
shall be distributed after deducting all
general expenses and other costs as
follows:

1.

) %01(

Ten percent (10%) of the net profits


shall be deducted and allocated as
the legal reserve. Such deduction
shall cease to occur when the total
amount of the reserve is equal to at
least fifty percent (50%) of the
capital of the Company. If the

-:

) %01(
- 96 -

.0

2.

3.

4.

reserve falls below this threshold,


deduction shall be resumed.

A further ten percent (10%) of the


net profits shall be deducted and
allocated to the statutory reserve;
such deduction shall cease to occur
by a resolution of the Ordinary
General Assembly upon the
recommendation of the Board of
Directors or if it reaches ( Enter
Figure %) of the Companys paid
capital. Such reserve shall be used
for the purposes determined by the
Ordinary General Assembly upon
recommendations of the Board of
Directors.

) %01(

An amount equivalent to five


percent (5%) of the paid capital
shall be deducted to be distributed
among the shareholders; however,
if the net profits in a certain year do
not allow the distribution of said
amount, then it shall not be
claimed from the profits of the
following years.

) %0(

The remaining amounts of the net


profits are distributed among the
shareholders or shall be moved to
the subsequent year, pursuant to a
recommendation made by the
Board of Directors, or installments
allocated to form an additional
reserve, all in accordance with the
Ordinary
General
Assembly
resolutions.

.) %

.0

.1

22

Article 58
The legal reserve shall be used by a
resolution of the Board of Directors in
the best interest of the Company. The
legal reserve may not be distributed
among the shareholders. However, any

.0


- 97 -

amount in excess of fifty percent (50%) of


the paid up capital can be used to
distribute dividends which shall not
exceed ten percent (10%) of the paid up
capital among the shareholders during
years where distribution of such
percentage is not possible. The statutory
reserve may not be utilized for purposes
other than those specified thereof, except
by a resolution of the Ordinary General
Assembly.

) %01(

Article 59

22

Dividends shall be paid to the


shareholders in accordance with the
regulations as to trading, clearing,
settlement, transfer of ownership and
custody of securities and the applicable
regulations of the financial market
where the Companys shares are listed7

PART EIGHT
DISPUTES

22

Article 60
Civil Liability against members of the
Board of Directors may not be waived by
resolution of the General Assembly. If
the action giving rise to the liability was
presented to the General Assembly in a
report by the Board of Directors or by its
auditor and was ratified by the General
Assembly, civil claims shall be time
barred by the expiry of one year from the
date of convening that General
Assembly. However, if the alleged
action constitutes a criminal offence, the
proceedings for liability shall not be time
barred except by the lapse of the public
case.



.


.

- 98 -

PART NINE
DISSOLUTION OF THE COMPANY

Article 61

22

The Company shall be dissolved for any


of the following reasons:

Expiry of the Companys term


unless it is renewed in
accordance with the provisions
of these Articles.

Fulfillment of the objectives for


which the Company was
established.

A resolution of the Extraordinary


General Assembly to terminate
the term of the Company.

Merging the Company with


another company.
Article 62

If the Company incurs losses equal to


50% of the share capital, the Board of
Directors
must
convene
an
Extraordinary General Assembly to
decide whether the Company should
continue or be dissolved prior to its term
as mentioned in these Articles.
Article 63
At the end of the term of the Company
or in case of its dissolution before the
expiry of such term, the General
Assembly shall, upon recommendation
by the Board of Directors, determine the
method of liquidation, appoint one or
more liquidators and shall specify their
duties. The authorities of the Board of
Directors shall terminate with the
appointment of the liquidator(s). The
authorities of the General Assembly
shall remain in force for the duration of
the liquidation process and shall last

20



.

22



.

.

- 99 -

until the liquidators are absolved of their


obligations.

PART TEN
FINAL PROVISIONS


22

Article 64
The provisions of the Law shall apply to
any matter not specifically covered in
the Memorandum of Association or
these Articles.
Article 65

The Company shall be bound by the


Ministerial Resolution No 518 of 2009
issued by the Minister, Chairman of the
Authoritys Board, concerning the
Corporate Governance and Institutional
Discipline Criteria and by any other
decisions amending or replacing it. Said
decision shall be considered as an
integral part of these Articles.

) 006(

Article 66

22

In case there is any contradiction


between the provisions of these Articles
in the Arabic and English texts, the
Arabic text shall prevail.

Article 67

22

These Articles of Association shall be


deposited and published in accordance
with the Law.
Signatures

.
22

0119

..

Rimco Investments (L.L.C.)

..

Osool Asset Management BSC Closed

- 100 -

.,

United Alsaqer Group LLC

Astro AD Cayman Ltd.

Capital Investment - LLC

..

Abhaar International LLC

..

Ithmar Capital Holdings Limited

Badad International Company

..

Al Nasser Holding Company

..

AlAbdulKarim, Sami AbdulKarim A

Kassem Alom Zarzur

Yusuffali Musaliyam Veettil Abdul Kader

Abdulmajid Abdulhamid Dhia Jafar

Alomran, Khalid Abdulrahman M

AlArdi, Mishal Saleh S

Ahmed Habib Ahmed Kassim

Siddiq Mohamed Hussain AlKhoori

Desax Properties Limited

- 101 -

AbdulJalil Yousuf AbdulKarim Darwish

Michael Pacha

Golden Desert Investment LLC

....

Nizar Badeh Rajoub

Abubaker Seddiq Mohamed Hussain AlKhoori

AlDereyaan, AlWaleed AbdulRazaq S

Khaled Abdulla Neamat Mohamed AlKhoori

Hamad Mohamed Muftah AlShamsi

H.E. Dr. Sultan Ahmed Sultan Al Jaber

Al Ain Capital LLC

..

Magna Investment - LLC

..

Murshed Thani Murshed Ghanam AlRemeithi

Hameem Investment LLC

..

Qusai Moh'd Ahmed AlGhussein

Fatema Amer Alhbabi

AbdulHamied Ahmed Qassim Seddiqi

- 102 -

Naim Mohammad Mustafa AlRadi

Ruya Ltd

..

)Al Mal Capital (P.S.C

- 103 -