CmaBoardReleases
Title: Resolution No. (184) of 2022 Amending Resolution No. (181) of 2022 Regarding Granting a Collective Investment Scheme License to The Securities House Company for the Incorporation of Hathina for Early Education Scheme
Having Perused:
- Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and its Executive Bylaws, and their amendments; and
- Based on the application of The Securities House Company to incorporate Hathina for Early Education Contractual Company in the State of Kuwait; and
- Based on the application of The Securities House Company to incorporate Hathina for Early Education Scheme in the State of Kuwait; and
- Memorandum and Articles of Association of The Securities House Company; and
- Agreements of service providers of Hathina for Early Education Scheme; and
- Based on Resolution No. (141) of 2022 regarding amending the approval authorizations of the Supervision Sector’s procedures issued on 04/09/2022;
- Based on Resolution No. (181) of 2022 Regarding Granting a Collective Investment Scheme License to The Securities House Company for the Incorporation of Hathina for Early Education Scheme.
The Following Was Resolved:
Article (1):
The Securities House Company is hereby granted approval to incorporate Hathina for Early Education Scheme. It is offered for private subscription in a fixed capital of KWD 3,000,000 (Three Million KWD only) in a nominal value of KWD 50,000 per unit (Fifty Thousand KWD only). The minimum subscription limit by any of the Scheme’s participants is 1 unit (One only).
Article (2):
The units to be offered for subscription shall be 60 units (sixty units only) which totals KWD 3,000,000 (three million KWD only). The Scheme manager's participation in the Scheme’s units shall not be less than 1 unit (one unit only) or the equivalent in other currencies as a minimum.
The parties receiving the subscription applications are as follows:
• The Securities House Company
Article (3):
The objectives of the Collective Investment Scheme are as mentioned in the Contractual Collective Investment Scheme contract.
Article (4):
The Scheme’s term is 5 calendar years, starting from the date of its registration in the Collective Investment Schemes Register at the CMA. It is renewable for a period of one year with a maximum of two times only at the request of the Scheme’s manger, and after obtaining the approval of the CMA.
Article (5):
The Fund is granted a temporary license for six months from the date of the approval letter of granting the license issued by the CMA for the purpose of completing the CMA’s requirements and the minimum limit of the Fund’s capital. The Fund is not permitted to practice any of its activities based on this temporary license.
Article (6):
In the event of the expiration of the temporary license without completing the requirements stipulated in Article (5) of this Resolution, the temporary license shall be revoked, unless the applicant applies to extend the temporary license term before the end of the original term of the temporary license. The Authority may take the necessary measures as it deems in the right interest of the Contractual Collective Investment Scheme.
Article (7):
The licensed person may close the subscription period and be satisfied with the subscribed capital at any time, provided that the target group that was invited to subscribe is notified before a period of not less than three business days from the new closing date.
Article (8):
If the term of the temporary license expires without completing the minimum capital, the temporary license shall be void. In this case, the collective investment scheme’s manager shall return any funds collected from the clients and the profits made within a maximum period of ten business days from the date of the expiration of the temporary license period, and the Authority shall be notified in writing.
Article (9):
Hathina for Early Education Contractual Company (Special Purpose Vehicle (SPV)) shall be established to issue new units in the capital of the unit holders in the contractual collective investment scheme, where the partners of the SPV are the participants in the contractual collective investment scheme. The units of the contractual collective investment scheme shall be registered in the names of the scheme’s participants.
Article (10):
The assigned fees shall be paid within a month from the date of this Resolution. In case of default, this Resolution shall be considered null and void.
Article (11):
The Fund shall be licensed, after completing the minimum limit of the capital, for three years from the date of its registration in the Collective Investment Scheme Register at the CMA.
Article (12):
The concerned bodies shall execute this Resolution, each within its jurisdiction. This Resolution shall come into force from the date of its issuance. It shall be published in the Official Gazette. Resolution (181) of 2022 and its stipulated provisions shall be cancelled.
Fahed Al-Fadli
Acting Head of Supervision Sector
06/12/2022