/PRNewswire/ -- Emaar Properties, (DFM: EMAAR), one of the world's largest
real estate companies, announced today that it has agreed to acquire John
Laing Homes, the second largest privately held homebuilder in the U.S.,
creating one of the world's leading real estate developers in residential
The US$1.050 billion all cash transaction has been unanimously approved
by the boards of directors of both companies and closed on June 1, 2006.
Commenting on the transaction, Mohamed Ali Alabbar, Chairman of Emaar,
said: "Partnering with John Laing Homes is consistent with our strategy of
expanding our business on a global basis beyond Dubai. This agreement will
provide Emaar with an important gateway into the U.S. real estate market."
Mr. Alabbar added: "John Laing Homes is a highly-respected partner with
more than 150 years of homebuilding experience, and boasts a strong and
knowledgeable management team. Emaar will leverage John Laing's industry
and management expertise and export it into markets around the world, while
providing John Laing Homes with additional resources to grow."
In addition to driving much of the commercial and residential
development in Dubai, Emaar currently has real estate operations in more
than 12 markets around the world, including India, Egypt, Turkey, Morocco,
Syria, Pakistan and Saudi Arabia. The company is known for its signature
projects, including the construction of the Burj Dubai, which will be the
tallest building in the world upon completion in 2008. With the company's
scale and financial strength, Emaar has been a pioneer in driving growth in
its regional real estate markets. Emaar also has an agreement with Giorgio
Armani to develop an international chain of luxury Armani hotels and
resorts around the globe, starting with the development of ten hotels. The
first hotels will be built in Milan and Dubai, followed by London, New
York, Tokyo and other major global gateway cities.
Emaar's leadership is recognized within the industry, having been named
by Euromoney 'Best Overall Developer in the UAE' as well as 'Best
Residential Developer in the UAE' in 2006. Additionally, Mr. Alabbar
received an 'Outstanding Contribution Award' from Euromoney in recognition
of his work and foresight in the real estate sector.
"We are very excited by this partnership," said Larry Webb, CEO of John
Laing Homes. "John Laing Homes and Emaar have much in common, with a
similar vision and values. Like Emaar, we strive to deliver world-class
customer service, and we are recognized for it, being named America's Best
Builder 2006 from Builder magazine."
Mr. Webb added: "The combination of Emaar and John Laing Homes will
provide us with additional financial and professional resources to expand
beyond our traditional markets of California and Colorado. It's a strategy
that Emaar has used successfully in driving growth in their regional real
estate markets throughout the world, and we're looking forward to being a
part of Emaar's vision for the future of global real estate development."
Upon closing, John Laing Homes will be operated as a division of Emaar.
John Laing Homes' corporate headquarters will remain in Newport Beach, CA,
and continue to be managed by Larry Webb, who, along with the senior
management team, have agreed to multiyear contracts.
On April 17, 2006, Emaar filed voluntarily with the Committee on
Foreign Investment in the United States (CFIUS), which has approved the
About Emaar Properties PJSC:
Emaar Properties, the Dubai-based Public Joint Stock Company and one of
the world's largest real estate companies, is listed on the Dubai Financial
Market and is part of the Dow Jones Arabia Titans Index.
The company recently announced that its net profits for the first
quarter ended 31 March 2006 reached US$413.1 million -- a significant rise
on the US$361.0 million for the equivalent period from the prior year.
Emaar's net profits for the year ended 31 December, 2005 climbed 180 per
cent, to a record US$1.288 billion. The figures represent a substantial
increase on the US$460 million for the year 2004, and reflect the
significant growth the company has undergone since its inception in 1997.
Currently, Emaar has several major real estate projects under various
stages of development in Dubai including Arabian Ranches, Dubai Marina,
Emirates Hills, The Views, The Meadows, The Springs, The Lakes and The
Greens. The company also owns and manages the Gold and Diamond Park.
Emaar has started construction on its most ambitious project to date,
the US$20 billion Burj Dubai Downtown development, which comprises the Burj
Dubai -- the tallest tower in the world when completed in 2008, The Dubai
Mall, Burj Dubai Business Hub, The Lofts, The Old Town, The Old Town
Island, Burj Dubai Boulevard, The Residences, Burj Views, man-made lakes,
landscaped parks and gardens.
The company has joint ventures and projects across the region covering
India, Egypt, Turkey, Morocco, Bahrain, Syria, Jordan, Pakistan, Lebanon,
Tunisia and Saudi Arabia. Major international projects include: Cairo
Heights and Smart Village, both in Egypt; Boulder Hills, a world-class
leisure and residential community in Hyderabad, India; multiple resort
projects in Morocco, including Amelkis II & III and Bahiya Bay, luxury
residential golfing communities; Eighth Gate project in Damascus, the
city's first master planned community; and Lakeside in Istanbul, a landmark
development for Turkey's cultural and commercial hub. In Saudi Arabia,
Emaar is embarking on the creation of the $26.6 billion King Abdullah
Economic City, a mixed use development covering 55 million square metres of
greenfield land with a 35 km shoreline close to the port city of Jeddah.
Last year the property developer announced plans to aggressively expand
the retail sector with investments of over US$4 billion to develop
approximately 100 malls in the larger emerging markets of the Middle East,
North Africa (MENA) and the Indian subcontinent.
While continuing to actively pursue expansion in its core business of
innovative, high quality real estate development, Emaar has diversified
into related business lines to further build value for its 59,000
shareholders, which includes the Government of Dubai. Emaar owns and
manages EMRILL, a joint venture with the UK-based Carillion which provides
innovative property and facilities management services. Emaar also holds 30
per cent equity in Dubai Bank, focused on retail and commercial banking and
is the majority shareholder in Amlak Finance, UAE's leading Islamic home
financing company. For further information, please visit
About John Laing Homes:
With a tradition of quality dating back more than 150 years, John Laing
Homes is the second largest privately held homebuilder in the nation, with
revenues of US$1.6 billion and 2,891 residential closings in 2005. The
homebuilder consistently ranks among industry leaders in overall customer
satisfaction by J.D. Power & Associates. The company has received numerous
industry awards, including "America's Best Builder" for 2006 from Builder
magazine, "2005 Most Admired Builder of the Year" from Big Builder
magazine, "2004 Builder of the Year" from Professional Builder magazine,
and "Builder of the Decade" in 2000 from independent research firm Eliant.
The company finished 2005 with revenues of more than US$1.6 billion on
2,891 residential closings. Based in Newport Beach, California, John Laing
Homes concentrates its homebuilding efforts in California and Colorado. For
more information, visit http://www.johnlainghomes.com .
FOR EMAAR PROPERTIES: FOR JOHN LAING HOMES:
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SOURCE Emaar Properties