Article 38(a): Fund’s Subscription in Securities

a. With regards to the provisions of Article (43 ) of these Regulations and the investment limitations on specialized public funds stipulated in these Regulations, a public fund may subscribe in securities according to the following conditions:

1) The securities are being offered in a public offer within the Kingdom or outside the Kingdom. If the public offer was made in a jurisdiction outside the Kingdom, the offer must be subject to regulatory standards and requirements at least equivalent to those applied on public offering in the Kingdom. The Authority shall have the discretion to assess whether the regulatory standards and requirements applied on the offer is at least equivalent to those applied by the Authority.

2) With the exception of Initial Public Offering that are made in accordance with the Instructions of Book Building Process and Allocation Method in Initial Public Offering, the securities may be subscribed by the public fund at a price which is no more than the offering price;