Following the announcement for SEDCO Capital published on 27 / 12 / 1443 H, corresponding to 26 / 07 / 2022 G, regarding the increase in the total value of the Fund’s assets by acquire two developed and income-generating assets located in Riyadh and Jeddah. The Fund Manager of SEDCO Capital RIET Fund wishes to clarify that the Fund is currently aims to acquire developed and income-generating asset located in Jeddah only.

Accordingly, the Fund Manager signed an agreement to purchase a commercial complex located in Jeddah, according to the following details:

  • The asset is located in Al Shati District in Jeddah on King Abdulaziz Road, with a total land area of ​​29,745.70 sqm.
  • It is developed and income-generating asset with a net rental area of 21,000 sqm and a total income of SAR 39 million annually.
  • The asset includes a variety of tenants in several sectors, such as Entertainment, Food and Beverage sector, and Cinemas. The asset is classified as one of the main destinations in Jeddah due to its distinguished location and the diversity of brands present in the property.
  • The purchase value is SAR 492,500,000 (excluding real estate transaction tax and other acquisition costs).
  • The Agreement is subject to completing the legal procedures to increase the total value of the Fund’s assets by offering additional units, including the completion of the due diligence procedures, and obtaining the approvals of Capital Market Authority, Saudi Stock Exchange (Tadawul), the unitholders and any other regulatory requirements.

The Fund Manager will disclose any developments related to this matter in a timely manner.

The Impact Caused by the Event: The Fund Manager expects that the impact resulting from this event will be positive in general on the Fund’s real estate portfolio and on the performance and results of the Fund, in the event that the process of increasing the total value of the Fund’s assets is completed and this transaction is completed.