Alraedah Finance enters partnership with Saudi Kuwaiti Finance House
By Delisha Fernandes
Alraedah Finance Company and the Saudi Kuwaiti Finance House (SKFH) have signed a strategic agreement to establish a closed-ended investment fund.
This agreement aims to invest SAR 300 million to support small and medium-sized enterprises (SMEs) across all sectors in Saudi Arabia.
Alraedah will be the operator of the fund’s assets, adhering to the provisions, programs, and services it provides in financing and within the framework of Islamic Sharia law. Aseel Capital, will distribute part of the units of this closed-ended investment fund to individual investors through collective investment through its innovative digital platform.
Aseel Capital provides innovative financial solutions using technology in crowdfunding, as its digital platform provides an easy and convenient way for retail investors to access mutual fund units. Aseel Capital enables individuals to achieve their investment and financial goals quickly.
Wail Hilal, Head of Asset Management of Saudi Kuwaiti Finance House, said, “Small and medium-sized enterprises in the Kingdom of Saudi Arabia play a key role in economic growth, job creation, and development, having a direct impact on local communities, and being a gateway for economic innovation.”
Saudi Kuwaiti Finance House, a capital organization in the industry and one of the Kingdom’s fastest-growing financial companies, will cover the fund’s capital in cooperation with Aseel Capital through a private placement according to the regulations of the Capital Market Authority.
The strategic approach adopted by Alraedah aims to expand the formation of integrated partnerships with investment entities in the banking and finance sectors according to strategies and plans commensurate with the new trends in the market, pointing to the company’s keenness to form an advanced approach to its products that distinguishes its performance and financing activities in line with the aspirations of its customers.
Khalid Al Homaid, Chief Investment Officer at Aseel Capital, said, “Through this partnership, we aim to enable SMEs to achieve their strategic and financial goals, which enhances their stability and ability to contribute to the sustainable economic development of the Kingdom and create more job opportunities. Aseel Capital believes that this partnership will contribute to supporting growing companies and enhancing their role in the economy.”
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