Jadwa REIT Saudi says BSF raised facility cap to SAR 1.17 bln

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Jadwa Investment Co., the fund manager of Jadwa REIT Saudi Fund, said that Banque Saudi Fransi (BSF) raised the limit of an existing Shariah-compliant banking facility by SAR 170.3 million to SAR 1.17 billion.

The fund will use the limit increase to finance new acquisitions of income-generating properties located in the Kingdom across various sectors, in line with the fund's investment strategy that aims to enhance its net income and cash dividends, the fund manager said in a statement to Tadawul.

The additional facility will be withdrawn during the original term of the loan agreement. The withdrawn amounts shall be paid in lump sum at the end of the facility term. During the term of the agreement, only the financing cost will be paid.

A positive financial impact is expected on the fund, as the increase in the facility limits provides the fund with more flexibility to acquire high-quality income-generating real estate assets under its strategy, the statement concluded.