Qomel plans to buy back up to 20,000 shares to retain as treasury

Logo of Qomel Co.

Qomel Co.’s board of directors recommended on May 28 the repurchase a maximum of 20,000 ordinary shares to retain as treasury shares, and allocate within the employee stock incentive program.

In a statement to Tadawul, the company clarified that the buyback and allocation of treasury shares will be conducted in a manner that does not violate the minimum public ownership requirement for listed shares, in accordance with regulations set by the Capital Market Authority (CMA) and other applicable laws in the Kingdom.

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The statement pointed out the share buyback will be funded through its own resources, using either its cash reserves or available credit facilities.

Qomel currently does not hold any treasury shares, the statement added.

The process is conditional upon the approval of the shareholders and meeting the financial solvency requirements contained in Implementing Regulations issued pursuant to the Companies Law.

Repurchased shares shall not have voting rights in the general meetings, the statement noted, adding that it is fully committed to complying with all related regulatory requirements.