Riyadh – Mubasher: NCB Capital on Monday will implement the initial public offering (IPO) of AlAhli real estate investment traded fund 1 (AlAhli REIT Fund1) units on Wednesday, 6 December, and it will continue until 19 December.
AlAhli REIT Fund1 will be the first REIT which will be launched by NCB capital to invest in developed, ready-to-use, and income-generating real estate assets, according to a statement.
AlAhli REIT Fund1 will invest in Alandalus Mall which is located near Jeddah, with visitors exceed 11 million annually.
The statement noted that the fund will acquire the five-star hotel Staybridge Suites which is near Jeddah Alandalus Mall.
NCB Capital said that there will be restriction period on trading on Alandalus Property Company’s units in the fund.
Alandalus Property Company owns 67.5 million units in the fund, representing 50% of the value of purchasing the target assets.
The restriction period will last for three years starting from listing the fund’s units in Tadawul.
NCB Capital on Sunday indicated that the Saudi Capital Market Authority (CMA) approved implementing the IPO of AlAhli REIT Fund1 units with a capital of SAR 1.375 billion, and the fund will be closed-end and compliant with Islamic sharia.
NCB is a 90% subsidiary of the National Commercial Bank (NCB).
