CmaBoardReleases
Title: Resolution No. (55) of 2018 Regarding Granting a Collective Investment Scheme License to KFH Capital Investment Company for the Incorporation of KFH Capital Local Real Estate Fund
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 request of KFH Capital Investment Company for the incorporation of KFH Capital Local Real Estate Fund in the State of Kuwait; and
- Memorandum and Articles of Association of KFH Capital Investment Company; and
- Articles of Association, issuance prospectus and agreements of administrative services providers of KFH Capital Local Real Estate Fund; and
- Resolution No. (20) of 2018 on amending the final approval of authorizations for the Supervision Sector’s procedures and delegations issued on 11/02/2018.
The Following Was Resolved
Article (1)
KFH Capital Investment Company is hereby granted approval to incorporate KFH Capital Local Real Estate Fund as a closed-ended fund which will be offered as a private placement. The capital of the fund is divided into equal units; the unit holders are responsible for the value of their participation in the capital, the value of the units is paid in cash upon subscription.
Article (2)
The total of 70,000,000 (Seventy Million Only) units shall be offered for subscription for the nominal value of 1 KD (One Kuwaiti Dinar Only) per unit. Subscription in the fund shall be in multiples of one thousand units. The minimum subscription in the fund by any subscriber is 10,000 (Ten Thousand) units.
The parties receiving the subscription applications are as follows:
· KFH Investment Capital Company
Article (3)
The objectives of the Collective Investment Scheme are as mentioned in the prospectus.
Article (4)
The Fund’s term is 5 calendar years, starting from the date of its registration in CMA Funds' register. The Fund’s manager may, after obtaining the CMA’s approval, extend the term of the fund to similar term(s).
Article (5)
The Fund is granted a temporary license for three 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)
If the term of the temporary license ends without completing the requirements stipulated in Article (5) of this Resolution, the temporary license shall be revoked, unless the license term is extended for other similar term upon the request of the licensed person before the end of the original license term.
Article (7)
The assigned fees shall be paid within a month of the issuance of this Resolution. In case of default, this Resolution shall be considered null and void.
Article (8)
The Fund is licensed, after completing the minimum limit of the capital, for three years from the date of its registration in CMA register.
Article (9)
The concerned bodies shall execute this Resolution, each within its jurisdiction. This Resolution shall come into force from the date of its issuance, and it shall be published in the Official Gazette.
Zeyad Al-Fulaij
Acting Head of Supervision Sector
Issued on: 17/04/2018