CySEC deregisters investment fund, orders liquidation

The Cyprus Securities and Exchange Commission (CySEC) has announced that it has withdrawn the registration of the ‘Investment Compartment – Real Estate (RAIF76_1)‘, under RAIF Prime Property Services P.P. RAIF V.C.I.C. Ltd.

It should be noted that the decision regarding this RAIF, which stands for Reserved Alternative Investment Fund, was made during a meeting on May 20, 2024, before being publicly disclosed by the commission this week.

The commission said that it acted in accordance with Article 64(1)(b) of the Alternative Investment Funds Law of 2018, citing the failure to raise the minimum required assets within the specified timeframe.

As a consequence of this decision, the investment compartment will be dissolved and placed into liquidation, as stipulated by Article 63(1)(a) of the Law.

CySEC pointed out that since this was the only investment compartment within the RAIF, its dissolution would lead to the dissolution of the entire RAIF itself, following the provisions set out in Article 63(4) of the Law.

CySEC further stated that, under Article 138(9) of the Law, it would proceed with the deletion of both the investment compartment and the RAIF from the RAIFs Register.

The commission explained that this step will be taken once the dissolution and liquidation processes are finalised and all required documents have been submitted to CySEC.