​As part of the Capital Market Authority's ("CMA") continuous efforts to develop the capital market in the Kingdom, regulate the issuance of securities and monitor securities and dealing in securities, and regulate and monitor the works and activities of parties subject to the control and supervision of the Authority and based on the Capital Market Law issued by the Royal Decree Number (M/30) Dated 2/6/1424 H, the CMA Board has issued its Resolution dated 9/4/1439H corresponding to 27/12/2017G approving The Rules for Special Purposes Entities ("the Rules") and the Special Purposes Entity by-laws, and will enter into force starting from 15/7/1439H corresponding to 1/4/2018G.

The Rules aim to regulate the establishment and licensing of the special purpose entity; and to define the related monitoring and supervisory rules , taking into consideration all recommendations, observations and opinions, received from investors,  specialists, and interested parties during the public consultation.

The resolution to adopt the Rules has been issued in conjunction with the approval of the outcomes of the CFI track within the Transition & Activation of Responsibilities Project (TAR), where the Rules On The Offer Of Securities And Continuing Obligations issued by resolution dated 9/4/1439H corresponding to 27/12/2017G, contain provisions regulating the issuance and trading of securities through a special purpose entity.

The Rules and by-laws can be viewed on CMA’s website via the following link:

The Rules For Special Puroses Entites