November 11, 2022
(eng)
On October 13, 2022, The National Company for Learning and Education NCLE announced that it had signed a lease agreement with the Nova National Company for an educational building for male and female students in Al-Arid district in Riyadh, and for another educational complex building in Al-Qayrawan district. The company stated in two statements on “Tadawul” that the value of Al-Arid complex contract is 8.3 million riyals annually throughout the contract period, and 5.8 million riyals annually, the value of Al-Qairawan complex contract. In addition, it indicated that the term of the two contracts is 20 years, starting from the date of August 27, 2023, including the first 10 years that are binding on both parties, And an additional 10 years with an option not to renew exclusively for the lessee (NCLE). Furthermore, NCLE pointed out that the educational complex building in Al-Arid is built on a land area of 14,833 square meters, while the area of Al-Qairawan building is 9,735 square meters, indicating that the two educational complexes will be operated starting from the academic year 2023/2024.
“ The capacity of Al-Arid complex is estimated at 2,520 students, while the capacity of Al-Qairawan complex is estimated at 1,720 students”, NCLE also add.
The company expected that the financial impact of these two contracts will start from the first quarter of the company’s fiscal year, which will end on August 31, 2024. Moreover, these two investments come within the company’s strategy, which aims to expand and grow the student base, in order to achieve the growth and returns that attain the company’s strategy.
The aim of the two educational complexes is to grow the company’s market share in the north of the city of Riyadh by providing educational curricula that serve multiple segments of parents to meet various desires, noting that there are no related parties, NCLE indicated as a conclusion.
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