Derayah REIT Fund to debut on Tadawul March 26

Derayah REIT Fund will start trading on Saudi Stock Exchange (Tadawul) on March 26, under the symbol 4339.

The daily price fluctuation limit stands at 10 percent per unit, the bourse said in a statement on Thursday.

The fund’s initial public offering (IPO) on Tadawul, which ran from Dec. 27 to Jan. 7, was 125 percent oversubscribed, raising SAR 451 million, Argaam reported.

The sharia-compliant fund offered SAR 361.7 million worth of assets to the public. It plans to distribute 90 percent of its profit semi-annually, with expected net returns of 7.22 percent over the next year.

Derayah REIT will have a fund size of SAR 1.17 billion, representing 15 properties in Riyadh, Jeddah, Dammam, Khobar, Jubail, and Al-Ahsa. The assets include offices, residential units, warehouses, hotels, and retail units.