Bank Aljazira sets up special purpose vehicle in Cayman Islands

Bank Aljazira has established a special purpose vehicle (SPV), Aljazira Securities Ltd., in the Cayman Islands with the capital of SAR 187,500 ($50,000), the bank said in a statement to Tadawul on Monday.

The SPV is a limited liability company fully owned by Bank Aljazira, which will engage in financial derivatives transactions and repurchase agreements with international banks.

Its establishment will have no financial impact on the bank, the statement said.

The lender received approval from the Saudi Arabian Monetary Authority (SAMA) on April 20 to set up the company.