Saudi Economic and Development Securities Company (“SEDCO Capital”), in its capacity as the Fund Manager of SEDCO Capital REIT Fund, announces the signing of shariah-compliant facility agreement with its strategic partner (Al-Jazira Bank), according to the following:

  • The agreement is signed with a financing limit of SAR of SAR 1,716,000,000, will be divided as follows:
    • SAR 800,000,000 will be used for the purpose of refinancing the currently drawn facility
    • SAR 375,000,000 is available to the Fund Manager to be utilized for the Fund’s investment objectives
    • SAR 541,000,000 will be activated after increasing the total value of the Fund’s assets and obtaining the Capital Market Authority approval
  • The Fund Manager succeeded in obtaining a profit margin for the facilities less by approximately 30% compared to the current Fund’s facility
  • The financing tenor is 6 years

The effect of the event: The Fund Manager expects that this event will have a positive impact on the overall performance of the Fund, due to reducing the financing profit margin and increasing the possibility of acquiring new real estate assets.