Al Rajhi Takaful recommends 300,000 share buyback for employee incentive program

Logo of Al Rajhi Cooperative Insurance Co. (Al Rajhi Takaful) 

Al Rajhi Company for Cooperative Insurance’s (Al Rajhi Takaful) board of directors recommended today, May 5, buying back up to a maximum of 300,000 shares, to be allocated for the employee stock incentive program (ESIP).

In a statement to Tadawul, the company indicated that the share buyback will be financed from its own resources, noting that the repurchased shares will not have voting rights in general assembly meetings. It also stated that it currently holds no treasury shares out of the total class of the shares purchased.

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The decision is awaiting the approval of the extraordinary general assembly, the date of which will be announced later, in accordance with the requirements of paragraph (4) of Article (17) of the Executive Regulations of the Companies Law for Listed Joint Stock Companies, said Al Rajhi Takaful.

All necessary approvals shall be obtained from the general assembly in accordance with relevant regulations, and after satisfying solvency requirements by the company as mentioned in the third paragraph of Article 17 of the same Executive Regulation, it added.