Press Release

Kuwait- 12 May 2009

• Al Mazaya studies possibility of acquiring 100% of its subsidiary First Dubai

• Al Shall Consulting Company offers its feasibility report within 8 weeks

• Al Shall Consulting Company will propose options of completing the acquisition process

Al Mazaya Holding has signed an agreement with Al Shall Consulting Company for consultancy services and full support of the First Dubai Real Estate Development acquisition process. The assignment includes monitoring all procedures involving the acquisition process, and ends with either the completion of the acquisition process or refusal. This move by Al Mazaya comes as the next step in its bid to take over the remainder of First Dubai’s shares, of which Al Mazaya already owns 67%.

Al Shall Consulting will do a full analysis of Al Mazaya and First Dubai situation to see how beneficiary it is for Al Mazaya to obtain the remaining 33 percent of the First Dubai shares, and should the acquisition process reach a confirmation stage, Al Shall Consulting will do an evaluation of the fair value of shares necessary for the exchange process between Al Mazaya and First Dubai. This study would cover all assets and liabilities of the two companies, a necessary step to determine a fair price. The analysis and evaluation process is set to be completed in 8 weeks.

The managements of Al Mazaya Holding and First Dubai Real Estate Development will review Al Shall’s report, once completed. Al Mazaya will hold a general assembly meeting to discuss the results of the report and decide the next step if the report recommends moving on with the acquisition process, or if Al Mazaya and First Dubai agree to the fair exchange value of shares proposed by the report.

Al Shall’s report will present the best course of action to finalise the acquisition process successfully, as well as alternative scenarios to the acquisition process, such as offering to buy 33% of First Dubai’s shares from the shareholders. The acquisition may require Al Mazaya to increase its capital by the fair value of the First Dubai shares it does not own, and issue shares for First Dubai in Al Mazaya.

Commenting on the acquisition process, Eng. Salwa Malhas, Executive Vice President at Al Mazaya Holding, said: “The acquisition process is an important strategic step made for the good of the company. The process will also increase Al Mazaya’s capital, maximize profits for the shareholders, and increase productivity to develop projects with the highest standards, as well as improving workers’ skills, productivity, etc”.

“We are now waiting for the results of the study being conducted by Al Shall Consulting, which will give the fair value of First Dubai’s shares, to ensure that the shareholders get their full rights from the acquisition process. Our decision to acquire First Dubai Real Estate Development comes at a time where First Dubai needs additional support to continue its activities and projects to realize a better future for Al Mazaya and First Dubai,” she added.

Al Mazaya Holding is one of the leading real estate development companies in the Middle East. Headquartered in Kuwait, Al Mazaya Holding is a joint-stock company with a capital of KD 45.5 million, and is listed on Kuwait and Dubai Financial Markets. Al Mazaya offers numerous products and real estate services in the commercial and residential sectors. Real estate residential products include high-quality towers and phenomenal villas, while commercial products include offices and retail buildings. In addition, Al Mazaya undertakes purchase and lease of plots in selected areas, as well as running projects.

First Dubai was established in 2003 with a capital of KD 100 million. First Dubai’s field of work includes the buying and selling of properties; building, maintaining and running residential and commercial complexes; ownership and exchange of stocks and local and international bonds; establishing and running real estate funds; conducting studies; real estate consultancy services. First Dubai, which is listed on the Kuwait Financial Market index, has a portfolio of leading projects, including Sky Gardens, Queue Point, and the Waterfront project.

Al Shall Consulting Company is a Kuwaiti company that has over 27 years experience in delivering real estate consultancy services for numerous companies. Al Shall’s services include helping companies understand the markets, strategic planning, development and running of plans, conducting feasibility studies, as well as offering consultancy services, studies and fair evaluation of shares in merger and acquisition operations.