Al-Mowasat announces the filing of a commercial lawsuit against it demanding $89.43 million

Listen to the article. The audio text is automated, generated by an automated system

Al-Mowasat Medical Services Company - “Al-Mowasat” announced the registration of a commercial lawsuit against it by the Doctors Company for Medical Projects, a closed joint-stock company, before the Commercial Court in Dammam.

“Al-Mowasat” stated in a statement on “Saudi Tadawul” today, Sunday, that the lawsuit of the Doctors Company for Medical Projects relates to the exit of its entire share of approximately 5.631 million shares, which represents 32.42% of the shares of the Jeddah Doctors Company, by assignment in favor of Al-Mowasat Company for Medical Services, with a claim value of approximately 89.43 million dollars (335.38 million Saudi riyals), according to what was stated in the lawsuit statement.

Al-Mouwasat owns 51% of the shares of Jeddah Doctors Company.

According to what was stated in the lawsuit, the plaintiff company is demanding a total amount of about $89.43 million (335.38 million Saudi riyals) in exchange for the share in question.

She noted that it is not possible to determine the financial impact of the lawsuit at this stage.

She added that there are no justifications for making any financial allocations regarding it, and any developments related to this lawsuit will be announced in due course.

Al-Muwasat said that at the present time, the legal and regulatory risks of this lawsuit cannot be determined, and any developments related to this lawsuit will be announced in due course. Al-Muwasat Medical Services Company does not see any operational impact on the business or operational activities of the Jeddah Doctors Company Hospital, and it is expected to open during the current quarter after obtaining the necessary licenses from the Ministry of Health.

Al-Mowasat stated that it has studied the lawsuit and its documents in coordination with its legal advisors to take the necessary legal measures to defend its rights and interests, and to submit the necessary responses and defenses before the competent judicial authority. It is not possible at the present time to estimate the liability that the company may bear as a result of this lawsuit, and any fundamental developments will be disclosed in a timely manner in accordance with the relevant regulations and instructions.

She explained that no contract or sale agreement had been concluded or signed with the Doctors Company for Medical Projects regarding the shares in question.