Riyadh – Mubasher: Emaar The Economic City sold an industrial land plot to CEER National Automotive Company at a total value of SAR 359.03 million to be paid over 15 years.

CEER, the first Saudi electric vehicle brand, will establish and operate a factory to manufacture electric vehicles, according to a bourse disclosure.

Emaar The Economic City pointed out that the asset’s book value stands at SAR 19 million, adding that the agreement will reflect on its revenues during the fourth quarter (Q4) of 2022.

In line with its business strategy, the Tadawul-listed firm will use the proceeds of the deal to develop the project's infrastructure and reinforce its operational working capital to meet certain financial obligations.

It is worth mentioning that the two entities penned the sale deal on 28 November 2022.

During the first nine months (9M) of 2022, the net losses after Zakat and tax of Emaar The Economic City increased by 15.04% to  SAR 627 million, compared to SAR 545 million in 9M-21.

Meanwhile, the revenues stood at SAR 227 million in 9M-22, lower by 12.02% year-on-year (YoY) than SAR 258 million.