The Capital Market Authority has issued its resolution approving the Saudi Fransi Capital's request to increase "Taleem REIT Fund" capital from SR 285,000,000 to SR 510,000,000 for the purpose of acquiring real estate assets.
Such approval was granted upon the Saudi Fransi Capital's request complied with the relevant disclosure requirements as per the Real Estate Investment Funds Regulations and Real Estate Investment Traded Funds Instructions.
Prior to meeting of unitholders that will be held to vote on the capital increase, the Saudi Fransi Capital will publish the terms and conditions of "Taleem REIT Fund" to unitholders including the objectives and rationale of the capital increase. The Terms and Conditions of "Taleem REIT Fund" must include all relevant information the unitholders need to know before making a voting decision on the capital increase for the said purpose, including information on the acquisition transaction and risk factors.
A voting decision without reading the terms and conditions of "Taleem REIT Fund" carefully or fully reviewing its content may involve high risk. Therefore, unitholders should carefully read the terms and conditions of "Taleem REIT Fund" in order to make a well-informed decision when voting on the capital increase resolution for the said purpose. If the terms and conditions of "Taleem REIT Fund" proves difficult to understand, it is recommended to consult with an authorized financial advisor.
The CMA’s approval of a particular Saudi Fransi Capital's request to increase "Taleem REIT Fund" capital should never be viewed as an endorsement of the feasibility of the capital increase for the purposes of a transaction. The CMA’s approval of a Saudi Fransi Capital's request to increase "Taleem REIT Fund" capital merely means that the regulatory requirements as per the Capital Market Law and its Implementing Regulations have been met.
