S EDCO Capital completes second capital increase of REIT

JEDDAH: SEDCO Capital, a global Shariahcompliant and ethically led asset management and investment advisory firm, announced that it has successfully completed the second capital increase of its flagship SEDCO Capital REIT Fund. Following the completion of the additional offering, the total asset value of the Fund reached SAR2.45 billion, positioning it as one of the largest real estate investment trusts (REITS) on the Saudi Exchange.

The Fund received 65,230 subscription requests from 135,852 individual and institutional investors. The successful offering resulted in a 141 per cent oversubscription with the total value of requests amounting to SAR 855.7 million.

The units will be allocated to the unitholders within 15 business days from the closing date of the additional offering period in accordance with the allocation mechanism disclosed in the supplementary appendix of the Fund’s terms & conditions.

Samer Abu Aker, CEO of SEDCO Capital, said: “The oversubscription of the second capital increase of the SC REIT Fund reflects the trust and confidence investors have in SEDCO Capital’s track record of successful real estate investments, the robustness of the properties within our porfolio, as well as the potential atractive returns accessible in the Saudi real estate market, particularly within the entertainment sector.”

The Fund’s latest capital increase follows the acquisition of Atelier Lavie, a new entertainment destination in Jeddah’s Al Shati district strategically located along King Abdulaziz Road (Al Malik Road), one of city’s arterial roads.