MEFIC REIT obtains SAR 400 mln bank facilities from Riyad Bank

MEFIC REIT Fund has signed a SAR 400 million Shariah compliant credit facilities agreement with Riyad Bank, the fund manager MEFIC Capital said in a bourse statement.

The credit, which was obtained on Aug. 6, 2018, has a term of seven years and is covered by a promissory note and real estate mortgage.

The financial charges will be paid during the contract’s term while the credit amount is to be repaid at the end of the seventh year.

The amount obtained will go towards achieving the REIT’s investment objectives, acquiring income-generating properties and long-term usufruct contracts in accordance with the fund’s policy.

No related parties are involved in the deal.