26 Jul 2022
Saudi Economic and Development Securities Company (“SEDCO Capital”), in its capacity as the Fund Manager of SEDCO Capital REIT Fund (the “Fund”), is pleased to announce the approval of the Fund Board to commence with increasing the total value of the Fund’s assets. The Fund aims to acquire two developed and income-generating assets located in Riyadh and Jeddah. In accordance with the regulations, the Fund Manager will secure the required regulatory approvals from Capital Market Authority, Saudi Exchange (Tadawul), the unitholders, and any other legal requirements.
The Fund aims to acquire two developed and income-generating assets at a value of more than SAR 700 million, in different sectors located in Riyadh and Jeddah.
The Fund aims to cover this acquisition through the issuance of new units as well as the use of banking facility in accordance with the terms and conditions of the Fund.
This potential acquisition is part of the Fund's strategy to acquire attractive real estate assets that add value to the portfolio and the unitholders. Also, it is expected to positively impact the overall Fund's performance and results.
The Fund Manager will take the following actions:
1. Sign a memorandum of understanding with the seller.
2. Conduct technical due diligence.
3. Conduct legal due diligence.
4. Obtain Capital Market Authority’s approval.
5. Obtain Saudi Exchange’s approval.
6. Obtain the unitholders’ approval in accordance with the Real Estate Investment Funds Regulations.
The Fund Manager will disclose any developments related to this matter in a timely manner.