Derayah Financial Company Announces a Material Development to Derayah REIT Fund

February

11/02/2026

Derayah Financial Company Announces a Material Development to Derayah REIT Fund

Element List	Explanation
Introduction	Announcement by (Derayah Fianancial) regarding a material development of (Derayah REIT Fund) regarding developments to the announcement published on September 22, 2025, concerning the former tenant of Smart Tower property – Al Thamra Al Hadetha Company, Commercial Registration No. (1010161292) – whose lease contract was terminated by a final and binding judgment, filing a lawsuit against the Fund.
Description of the Event	Derayah Financial Company, in its capacity as manager of Derayah REIT Fund, announces that it has received a notice from its legal counsel, as follows: 1. A preliminary court ruling was issued by the circuit competent to hear major cases at the General Court in Riyadh, dismissing the lawsuit filed against the fund due to the lack of standing of the plaintiff who demanded in it’s lawsuit the annulment of the purchase contract for the Smart Tower property concluded on 07/08/2017 AD. The ruling is subject to appeal.
The Impact Caused by the Event	The Fund Manager is unable to determine the impact resulting from this event, and the Fund Manager will announce any relevant material developments as soon as they become available. It is worth noting that the previous tenant Al Thamra Al Hadetha Company, Commercial Registration No. (1010161292) had previously filed a similar lawsuit demanding the cancellation of the property purchase contract concluded on 08/07/2017 (sales contract). A final judicial ruling was issued in this regard by the Fifteenth Circuit of the Court of Appeal in Riyadh in favor of the Fund, upholding the initial ruling issued by the circuit competent to consider the first major lawsuits in the General Court in Riyadh, which ruled (to dismiss the plaintiff’s lawsuit against the Fund).

Element List

Explanation

Introduction

Announcement by (Derayah Fianancial) regarding a material development of (Derayah REIT Fund) regarding developments to the announcement published on September 22, 2025, concerning the former tenant of Smart Tower property – Al Thamra Al Hadetha Company, Commercial Registration No. (1010161292) – whose lease contract was terminated by a final and binding judgment, filing a lawsuit against the Fund.

Description of the Event

Derayah Financial Company, in its capacity as manager of Derayah REIT Fund, announces that it has received a notice from its legal counsel, as follows:

1. A preliminary court ruling was issued by the circuit competent to hear major cases at the General Court in Riyadh, dismissing the lawsuit filed against the fund due to the lack of standing of the plaintiff who demanded in it’s lawsuit the annulment of the purchase contract for the Smart Tower property concluded on 07/08/2017 AD. The ruling is subject to appeal.

The Impact Caused by the Event

The Fund Manager is unable to determine the impact resulting from this event, and the Fund Manager will announce any relevant material developments as soon as they become available. It is worth noting that the previous tenant Al Thamra Al Hadetha Company, Commercial Registration No. (1010161292) had previously filed a similar lawsuit demanding the cancellation of the property purchase contract concluded on 08/07/2017 (sales contract). A final judicial ruling was issued in this regard by the Fifteenth Circuit of the Court of Appeal in Riyadh in favor of the Fund, upholding the initial ruling issued by the circuit competent to consider the first major lawsuits in the General Court in Riyadh, which ruled (to dismiss the plaintiff’s lawsuit against the Fund).

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