Announcement by Saudi Fransi Capital regarding the occurrence of a specific event in Taleem REIT Fund

Announcement by Saudi Fransi Capital regarding the occurrence of a specific event in Taleem REIT Fund

|Element List||Explanation|

|Introduction||Saudi Fransi Capital in its capacity as the Fund Manager of Taleem REIT announces the completion of an acquisition of a portfolio of four educational properties on 13/02/2022G. Details of the purchase are provided below.|

|Description of the Event|| - The portfolio comprises of three kindergartens located in the city of Riyadh and one school located in the city of Dammam. The total land area of the portfolio is 19,424.72 square meters with a total built-up area of 30,266.10 square meters.

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- The total purchase price of this acquisition is SAR 148.5 million, reflecting an average yield of 8.4%

- The acquisition was financed through Shariah-compliant loan facility

- All four properties are leased to Alkhaleej Training and Education Company as a triple-net lease with an average remaining lease term of 17.6 years.

- The Fund will pay a brokerage fee in respect of this acquisition

|The Impact Caused by the Event||The financial impact of this transaction is expected to be positive on the Fund's results.|