Fatima Fertilizer’s Investment in Sapphire Bay Islamic Development REIT

Fatima Fertilizer approves PKR 4.120 billion in Sapphire Bay Islamic Development REIT

Fatima Fertilizer shareholders gave their approval for a big investment of Rs7.66 billion in different Real Estate Investment Trusts (REITs) during their Annual (AGM) meeting on Friday, Sep 22, 2023.
The Arif Habib Dolmen REIT Management Limited will be in charge of handling this investment.

This decision allows Fatima Fertilizer to use this money for a specific period until the next annual meeting, or even longer, as per the rules mentioned in a document called Annexure-A of the Statement under Section 134(3) of the Companies Act, 2017.

Here’s how the approved money will be divided among different companies and projects:

• Pakistan Corporate CBD REIT: Rs1.142 billion
• Silk Islamic Development REIT (SIDR): Rs150 million
• Sapphire Bay Islamic Development REIT (SBIDR): Rs4.120 billion
• REITs managed by Arif Habib Dolmen REIT Management Ltd: Rs2.250 billion

Apart from this, the shareholders also agreed to investments that Fatima Fertilizer had made before in various REITs. This includes Rs600 million in Silk Islamic Development REIT (SIDR), Rs858 million in Pakistan Corporate CBD REIT, and Rs880 million in Sapphire Bay Islamic Development REIT (SBIDR).

This decision shows that the company is trying to diversify its investments, However, its influence on the market and future financial performance needs to be evaluated.