SAIC’s shareholders to convene third meeting to discuss 20% capital hike on Jan. 25

Logo of Saudi Advanced Industries Co. (SAIC)

Shareholders of Saudi Advanced Industries Co. (SAIC) will vote on a 20% capital hike through a bonus-share distribution (one bonus share for every five shares held) during an extraordinary general meeting (EGM) scheduled to be held for the third time on Jan. 25, according to a bourse filing to Tadawul.

In case of fractional shares, they will be compiled in one portfolio and will be sold at market price. Proceeds will be distributed to shareholders pro rata, within 30 days.

Additionally, shareholders will vote on repurchasing a maximum of 2.5 million shares to maintain as treasury shares as the board of directors or it representative deems that the share market price is less than its fair value.

The stock buyback will be financed through the company’s own funds as well as credit facilities. The board will be delegated to complete the process within a period of no longer than 12 months from the EGM approval date.

The repurchased shares will be maintained for a period of five years maximum from the EGM approval date. Afterwards, the company will follow the procedures and controls stipulated in the relevant laws and regulations.

Last December, the company announced that the EGM (first and second meetings) that was scheduled to vote on capital increase was not held due to lack of quorum, according to data available with Argaam.