Enma Alrawabi Company announces the Board of Directors’ recommendation to initiate regulatory procedures for the company’s share repurchase.
12/19/2024
| ELEMENT LIST | EXPLANATION |
| Introduction | The Board of Directors of Enma Alrawabi Company have recommended initiating the regulatory procedures in accordance with the regulations of the Capital Market Authority (CMA), Saudi Exchange (Tadawul), and other applicable regulations, enabling the company to purchase up to 500,000 (five hundred thousand) ordinary shares for the purpose of holding them as treasury shares. This decision will be voted on during the upcoming Extraordinary General Assembly Meeting (EGM), which will be announced in due course. The assembly will also approve the required amendments to the company's bylaws and authorize the share purchase. This will be conducted in accordance with the requirements and conditions stipulated in Article 17 of the Implementing Regulations of the Companies Law for listed joint-stock companies. A solvency report, prepared by the company's external auditor, will accompany the invitation to the EGM for final approval of this process. |
| Board of director’s recommendation date | 19/12/2024 |
| Purpose of Purchase | Retaining them as treasury shares to allocate them under the employee stock program, pledge them, sell them as needed, or exchange them in acquisition transactions. |
| Purpose of Purchase (If the Purpose to Keep the Shares as Treasury Shares) | The company clarified that the purchased shares will be held as treasury shares. The company reserves the right to allocate them under the Employee Stock Program, pledge, sell as needed, or exchange them for acquisitions, in accordance with the regulations of the CMA, Tadawul, and other relevant laws. |
| Number of Shares to be Bought | 500,000 shares |
| Shares Class and type | Ordinary shares |
| Method of Financing the Purchasing Process | The purchase will be financed through the company’s internal resources |
| Current Percentage of the Treasury Shares at the Company out of the Total Class of Shares Purchased | 0% |
| Approvals and Meeting the Conditions of Financial Appropriateness | It is necessary to obtain the approval from the Extraordinary General Assembly for the purchase transaction, as well as meeting the financial suitability conditions stipulated in the executive framework of the Companies Law for listed joint-stock companies. |
| Voting Right | Purchased shares shall not have voting rights in the General Assembly’s Meetings. |