Dubai school's real estate sale gets Dh453m for DFM-listed Amanat

Dubai: The UAE investment company Amanat has picked up Dh453 million from selling the real estate linked to the North London Collegiate School in Dubai. This marks Amanat's disposal of the asset just over 7 years after it bought the area for Dh360 million.

The company then added a capital expansion of Dh33 million, increasing Amanat’s total investment to Dh393 million. The buyer is Souk NLCS Holdings Ltd., a company licensed by ADGM.

The exit now reflects Amanat’s 'identify, grow, monetize' strategy, which focuses on 'investing in high-potential assets, accelerating their growth, and monetizing them at the right time'.

"This transaction broadens our strategic options," said Dr. Shamsheer Vayalil, Chairman of Amanat. "Moving forward, we remain committed to growing our education and healthcare businesses whilst at the same time delivering on monetization opportunities that generate further shareholder value.”

The Dh453 million deal represents an unlevered cash-on-cash multiple of 1.7x and an internal rate of return of 10%. The transaction will generate a net cash return of Dh294 million.

The proceeds will give Amanat flexibility to 'deploy capital into new opportunities that are aligned with our strategic priorities', said John Ireland, Amanat's CEO.