Saudi Economic and Development Securities Company (SEDCO Capital) Announces a Material Development to SEDCO Capital REIT Fund
|Introduction||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.|
|Description of the Event||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.
|The Impact Caused by the Event||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.|
|Additional Information||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.
The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.