Jadwa REIT Saudi gets CMA approval for updated supplementary annex of terms

Jadwa Investment Co., the fund manager of Jadwa REIT Saudi Fund, announced that the Capital Market Authority (CMA) approved the updated supplementary annex of the terms and conditions (T&Cs).

In a bourse statement, the fund manager stated that it submitted a request to the CMA to update the supplementary annex in relation to setting the target unit price in the additional offering to become at the closing price three days prior to the start of the additional offering, after applying a discount of 10%. This is instead of being based on the trading average of the closing price of the fund's units over the last 90 trading days prior to the date of the CMA's approval on the supplementary annex.

This update will not have any effect on increasing the total value of the fund's assets, as the increase will remain without any change.

The update is related to the mechanism of determining the target unit price in the additional offering, which will result in issuing a larger number of units that will increase the cost on the fund for the in-kind portion paid to the seller.

The fund manager will announce any developments in this regard, including inviting the current unitholders to vote on increasing the total value of the fund’s assets and the supplementary annex to the terms and conditions of the fund and obtaining the CMA approval.

In March, Jadwa REIT Saudi Fund's board of directors gave the go-ahead for increasing the fund's total assets by SAR 370 million in order to acquire a new real estate asset in Riyadh.

In July, the CMA approved the supplementary annex of the terms and conditions (T&Cs) of Jadwa REIT Saudi Fund, Argaam earlier reported.