Riyadh – Mubasher: Al Khaleej Training and Education on Wednesday signed a memorandum of understanding (MoU) with Arab National Investment Company (ANB Invest) to establish an income-generating real estate fund, with focus on the education sector.
The fund will be dedicated to developing and constructing educational buildings, or buying existing educational buildings to develop the sector in accordance with international developments, according to a filing to the Saudi Stock Exchange (Tadawul).
Al Khaleej Training plans to transfer its existing properties to the real estate investment traded fund (REIT) under the name Al Khaleej Educational REIT.
The Tadawul-listed company aims to convert real estate assets into tradable investment assets to reflect their fair market value, while enhancing the firm's liquidity and reducing debt.
The validity of the MoU is four months from the date of signing, the company’s statement pointed out.
Six properties will be listed in the fund, namely the headquarters building in Riyadh, schools in Al Mughrizat, Al Sahafa, and Dammam, and training centres in Khobar and Al-Hasa, Al Khaleej Training indicated.
By 11:26 am Saudi time, Al Khaleej’s stock reached SAR 17, rising 1.61%.
