Al Ritaj Services

عربي

Evaluation Process

Al Ritaj’s evaluation process is executed in 7 main steps:-

Step 1 – Investment Criteria Assessment:

Al Ritaj analyzes the potential investment based on its initial Investment Criteria

Step 2 – NDA Signature:

A confidentiality agreement is signed between Al Ritaj and the Target Company

Step 3 – Perform Preliminary Due Diligence:

Al Ritaj will request preliminary information from the Target Company in order to further assess the opportunity relative to Al Ritaj’s investment objectives. The requested preliminary information includes:

Written acceptance of Al Ritaj Rules of Engagement as defined by

	During the engagement, conducting the business in accordance with Sharia principles
	Allowing Ritaj to audit the financial performance of Target Company by an accredited auditing firm
	Allowing Al Ritaj to actively participate in management
	Accepting that Al Ritaj will be a partner for a certain period of time and will eventually exit the project through a number of possible exit mechanisms
	Consider to develop and/or restructure Target Company (if necessary)
	If Target Company is not a limited liability or limited partnership company, consider to change the legal status prior to engaging in a contractual agreement

Target company profile

List and split of current shareholders

Company’s legal credentials (e.g. Articles of Association, Certificate of Registration, Chamber of Commerce membership etc.)

Information on any outstanding lawsuits

Management organizational chart and brief resume on the key management staff

Audited financial statements for the last three years

Execution plan for the additional capital requirement

Company business plan and/or feasibility study

Step 4 – MOU Signature:

After reviewing the preliminary information, if the opportunity passes the preliminary due diligence, Al Ritaj will enter into a Memorandum of Understanding (MOU) with the Target Company. The MOU will represent Al Ritaj’s intent to perform detailed due diligence on the Target Company with a view to making a Share Purchase Offer.

Step 5 – Perform Detailed Due Diligence:

Al Ritaj will conduct detailed due diligence on the Target Company, including legal, operational and financial due diligence. Al Ritaj may use the services of outside consultant and technical advisors at this stage.

Step 6 – Offer Negotiations:

Post detailed due diligence Al Ritaj will make a binding Share Purchase Offer to the Target Company.

Step 7 – SPA Signature:

Upon successful negotiations of the Share Purchase Offer and other terms and conditions, Al Ritaj and the Target Company will finalize and sign a Share Purchase Agreement.

Step 8 – Post Investment Management:

Upon successful SPA signing, Al Ritaj will work closely with the existing & new partners to develop and implement future growth / Turnaround strategy.