Maldives’ first licensed investment advisor and securities dealer, First National, has completed the fundraising phase for its real estate fund, achieving its target of MVR 18 million.
Maldives’ first licensed investment advisor and securities dealer, First National, has completed the fundraising phase for its real estate fund, achieving its target of MVR 18 million.
The fund, open from December 12 to January 16, is the first in the Maldives to be officially registered with the Capital Market Development Authority (CMDA) and is managed by First National Finance Corporation.
The real estate fund is set to invest in leasing the first three floors of Sakeena Manzil in the Henveiru ward, for a period of 30 years.
First National CEO Hassan Ziyath said that the fundraising round was oversubscribed, but the company decided to return any additional funds to investors after reaching the MVR 18 million target.
Ziyath said that the funds were raised through sale of bonds and shares. MVR 8.1 million was sold as bonds, while shares accounted for MVR 9.9 million. Investors in the fund will receive a 20 percent return on their equity, while those who participated in the debt investment will receive a 12 percent return over six years.
The fund attracted a diverse group of investors, including private businesses, voluntary organizations, and members of the public. Ziyath highlighted the participation of two local councils and Cancer Society of Maldives, an NGO that will benefit from regular income through its investment.
Investors in the fund are set to receive four annual returns, starting in April. First National said that it aims to expand its reach and involve more institutional investors in future projects.
First National, established in 2021, has been instrumental in raising funds for state-owned and private companies. The company also assists businesses with issuing sukuk and bonds.
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