Academy of Learning signs long-term agreement to develop, operate four schools in Eastern Province
Academy of Learning Co. (AOL) said its wholly owned subsidiary, Learning Private Schools Co., signed on April 5 a 30-year lease agreement for four model schools with a total capacity of 5,000 students in Dammam and Al Khobar. 
In a statement to Tadawul, the company said the agreement was signed with Wujood Developments Co., a subsidiary of Alwabel Investments Co., and aims to provide education services across all stages for both boys and girls, while supporting its geographic expansion in the Eastern Province.
AOL added that the schools in Dammam are located in the Akwaanresidential layout, while those in Al Khobar are in the Al Tahliyah and Al Khuzamaresidential layouts.
It added that the schools will be developed by Wujood and used for educational activities across all stages, including nursery, early childhood education, and other levels, as well as special education programs.
The total development cost is estimated at around SAR 200 million, to be borne by Wujood. The annual lease value will be set at 8% of the actual cost, with a 5% increase every five years, in line with the agreement’s terms.
The contract was awarded and signed on April 5, with the lease term to begin six months after the delivery of each school. The company said no related parties are involved in the deal.
AOL expects the positive financial impact to materialize gradually once operations begin, following a six-month grace period from the delivery date of each school.
The company added that its investment strategy in schools is based on leasing rather than ownership, aiming to reduce capital expenditure and accelerate returns.
Major Details of the Two Deals
Deals
Acquisition of real estate assets from Al Oula Real Estate and Alhokair Holding
Compensation Shares Price
Nominal value for compensation shares is SAR 1/shr
BAAN Capital Before Increase
SAR 315 mln
BAAN Capital After Increase
SAR 619.97 mln
BAAN Shares Before Increase
315 mln
BAAN Shares After Increase
619.97 mln
Nominal Value
SAR 1
Method Purpose of Increase
Issuance of 304.97 mln ordinary shares; for acquiring real estate assets from Al Oula Real Estate and Alhokair Holding
Timeline for Completing the Deal
EGM Approval
April 23, 2026, if the EGM approves the two transactions at its first or second meeting.
May 19, 2026, if the EGM approves the two transactions at its third meeting, as applicable.
Emptying the Real Estate Assets upon Completion of Either or Both Transactions and Issuance of New Deeds
As soon as possible from the date of the EGM approval.
Listing and Allocation of the Compensation Shares on Tadawul, upon Completion of Either or Both Transactions
As soon as possible after the real estate assets are emptied, and this is expected to be within two trading days of the real estate assets being emptied.
Amendment to the Company’s Commercial Registration and Filing of the Amended Articles of Association with the Ministry of Commerce.
Within 30 days of the completion date of either or both transactions, which is expected to occur on:
– May 23, 2026, if the EGM approves the transactions at its first or second meeting.
– June 18, 2026, if EGM approves the transactions at its third meeting, as applicable.
Academy of Learning signs long-term agreement to develop, operate four schools in Eastern Province
Academy of Learning Co. (AOL) said its wholly owned subsidiary, Learning Private Schools Co., signed on April 5 a 30-year lease agreement for four model schools with a total capacity of 5,000 students in Dammam and Al Khobar.
In a statement to Tadawul, the company said the agreement was signed with Wujood Developments Co., a subsidiary of Alwabel Investments Co., and aims to provide education services across all stages for both boys and girls, while supporting its geographic expansion in the Eastern Province.
AOL added that the schools in Dammam are located in the Akwaanresidential layout, while those in Al Khobar are in the Al Tahliyah and Al Khuzamaresidential layouts.
It added that the schools will be developed by Wujood and used for educational activities across all stages, including nursery, early childhood education, and other levels, as well as special education programs.
The total development cost is estimated at around SAR 200 million, to be borne by Wujood. The annual lease value will be set at 8% of the actual cost, with a 5% increase every five years, in line with the agreement’s terms.
The contract was awarded and signed on April 5, with the lease term to begin six months after the delivery of each school. The company said no related parties are involved in the deal.
AOL expects the positive financial impact to materialize gradually once operations begin, following a six-month grace period from the delivery date of each school.
The company added that its investment strategy in schools is based on leasing rather than ownership, aiming to reduce capital expenditure and accelerate returns.
Major Details of the Two Deals
Deals
Acquisition of real estate assets from Al Oula Real Estate and Alhokair Holding
Compensation Shares Price
Nominal value for compensation shares is SAR 1/shr
BAAN Capital Before Increase
SAR 315 mln
BAAN Capital After Increase
SAR 619.97 mln
BAAN Shares Before Increase
315 mln
BAAN Shares After Increase
619.97 mln
Nominal Value
SAR 1
Method Purpose of Increase
Issuance of 304.97 mln ordinary shares; for acquiring real estate assets from Al Oula Real Estate and Alhokair Holding
Timeline for Completing the Deal
EGM Approval
April 23, 2026, if the EGM approves the two transactions at its first or second meeting.
May 19, 2026, if the EGM approves the two transactions at its third meeting, as applicable.
Emptying the Real Estate Assets upon Completion of Either or Both Transactions and Issuance of New Deeds
As soon as possible from the date of the EGM approval.
Listing and Allocation of the Compensation Shares on Tadawul, upon Completion of Either or Both Transactions
As soon as possible after the real estate assets are emptied, and this is expected to be within two trading days of the real estate assets being emptied.
Amendment to the Company’s Commercial Registration and Filing of the Amended Articles of Association with the Ministry of Commerce.
Within 30 days of the completion date of either or both transactions, which is expected to occur on:
– May 23, 2026, if the EGM approves the transactions at its first or second meeting.
– June 18, 2026, if EGM approves the transactions at its third meeting, as applicable.
