Derayah REIT’s initial public offering (IPO) will run from Dec. 27 to Jan. 7, fund manager Derayah Financial Corporation Company said in a statement.
Subscription will be available through Riyad Bank, the National Commercial Bank (NCB), and Derayah Financial.
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.
The sharia-compliant fund offers SAR 361.7 million worth of assets to the public, and plans to distribute 90 percent of its profit semi-annually, with expected net returns of 7.22 percent over the next year.
In the coming period, the fund plans to take advantage of available financing opportunities to raise its net returns, Derayah Financial CEO Mohammed Al Shammasi said.
Earlier this month, the Saudi Capital Market Authority (CMA) approved Derayah Financial Corporation Company’s request to offer, register and list units of the Derayah real estate investment traded fund (REIT) on the Saudi Stock Exchange (Tadawul).
|
Derayah REIT Fund - Details |
|
|
Fund name |
Derayah REIT |
|
Fund manager |
Derayah Financial Corporation Company |
|
Fund size |
SAR 1.172 bln |
|
Assets |
15 properties in Riyadh, Jeddah, Dammam, Khobar, Jubail and Al-Ahsa |
|
Dividend distribution |
90% semi-annually |
|
Offering period |
Dec. 27, 2017 - Jan. 7, 2018 |
|
Minimum subscription |
SAR 10,000 |
Comments
{{DisplayName}}
{{ElapsedTime}}