King & Spalding advises SEDCO Capital and Wasatah Capital

King & Spalding (in association with the Law Office of Mohammed Al-Ammar) acted as fund counsel to SEDCO Capital and Wasatah Capital on the establishment of listed Saudi Arabian REITs, SEDCO Capital REIT Fund and Wasatah REIT, respectively, both of which were recently approved by the Saudi Arabian Capital Market Authority (CMA). Both REITs are expected to conduct a public offering and list on the Saudi Arabian Stock Exchange in early 2018.

SEDCO Capital REIT Fund is a Shari’ah-compliant real estate investment fund that will invest in a diverse portfolio of income-producing properties in Saudi Arabia. The REIT expects to raise 650 million Saudi Arabian riyals (approximately USD173.5 million). SEDCO Capital is the CMA-regulated subsidiary of Saudi Economic and Development Company (SEDCO) and one of the leading asset managers and private equity firms in the MENA region. SEDCO Capital is known for its real estate and private equity funds and capital markets transactions.

Wasatah REIT is a Shari’ah-compliant real estate fund that will invest in hospitality income-producing properties in Saudi Arabia, including the Mövenpick Hotel in Riyadh. The REIT expects to raise approximately 1.1 billion Saudi Arabian riyals (approximately USD295 million). Wasatah Capital is one of the most active asset management firms in Saudi Arabia and currently manages a diverse portfolio of real estate and private equity funds.

The King & Spalding team on the matters was led by partner James Stull and included partners Nabil Issa and Moustafa Said as well as counsel Mohammad Al-Ammar, senior associate Macky O’Sullivan and associates Sayf Shuqair, Faris Al-Louzi and Bader Al-Ammar.