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March 7, 2024

King & Spalding advises Alkhabeer Capital on third closed-ended investment traded fund in Saudi Arabia

King & Spalding LLP acted as counsel to Alkhabeer Capital on the successful establishment of the Alkhabeer Diversified Income Traded Fund 2030 that is to be listed on the Saudi Stock Exchange. The fund is targeting to raise SAR 300 million (~US$ 80 million).

The fund operates on a Shari’ah-compliant basis and seeks to provide regular income and capital appreciation to its investors by investing in a diversified portfolio of underlying assets including Sukuk, trade finance and leasing arrangements, structured products and Murabaha transactions.

The fund is only the third closed-ended fund to be established in Saudi Arabia and listed and traded on the Saudi Stock Exchange. Over the last few years, King & Spalding advised Alkhabeer Capital to establish the Alkhabeer Diversified Income Traded Fund and Alkhabeer Growth and Income Traded Fund, which are the only closed-ended investment traded funds listed on the Saudi Stock Exchange.

Alkhabeer Capital acts as fund manager of the fund. Alkhabeer Capital is an asset manager based in Jeddah, Saudi Arabia specializing in Shari’ah compliant investment products.

The King & Spalding team advising Alkhabeer Capital on the fund establishment and investment structuring work included James Stull, Sayf Shuqair, Meshaal Alyahya and Husam Alhmary.