Mulkia Investment Announces Plans for New Real Estate Fund
As revealed in a recent stock exchange announcement, Mulkia Investment Company has announced its intention to establish a real estate fund. The company signed a memorandum of understanding (MoU) on 21 February to set the wheels in motion for this venture.
The fund’s primary objective is to acquire a substantial plot of undeveloped Buraidah land spanning an impressive 2.60 million square metres. This acquisition is a strategic move to expand Mulkia Investment’s portfolio in the real estate sector.
The process of implementing this plan is expected to unfold over the next 90 days from the date of signing the agreement. Completing this transaction, including the transfer of ownership and payment, is contingent upon securing bank financing for the fund and obtaining the necessary approval from the Capital Market Authority (CMA).
Once the acquisition is finalised, it is anticipated to impact Mulkia Investment’s financial performance positively. The company is expected to generate management fee revenue starting from the second quarter (Q2) of 2024, marking a significant milestone in its growth trajectory.
