| Element List | Explanation |
|---|---|
| Previous Announcement | Receiving a letter of demand from the Saudi Industrial Development Fund for the loan of Al-Reef Sugar Refining Co. |
| Date of Previous Announcement on Saudi Exchange’s Website | 2024-11-17 Corresponding to 1446-05-15 |
| Hyperlink to the Previous Announcement on the Saudi Exchange Website | Click Here |
| Latest Developments Of The Announced Event | Jazan Development and Investment Company (JAZADCO) announces that it has received an official final warning from the Saudi Industrial Development Fund (SIDF) On 26 January 2025 regarding its commitment to guarantee under the loan agreement to Al-Reef Sugar Refinery Company, by repaying the loan value of SAR 100,800,000 within a maximum period of 15 working days from the date of notification, as stipulated in Article (14) of the State Revenue Law, based on the loan of SAR 672,000,000, noting that the JAZADCO percentage of the loan is 15%.
JAZADCO also confirms that work is underway with the management of Al-Reef Sugar Refinery Company to complete the previously announced procedures, which are as follows:
1. Fair Valuation Request: JAZADCO will formally request the Board of Al-Reef Sugar Refinery Company to formally request that to conduct a fair and independent fair valuation of the company’s assets. Additionally, JAZADCO support efforts to identify potential buyers for the company’s assets to mitigate financial exposure.
2. Engaging in Negotiations: Where JAZADCO met with SIDF and explained the situation and the current clarification in full to explore a structured and mutually agreeable payment plan to fulfill its guarantee obligation responsibly, and another meeting was scheduled with the Fund to review the developments.
Financial Impact Assessment: JAZADCO is assessing the financial impact of this obligation, and the impact on the financial statement will be disclosed immediately after the above procedures are applied, as the financial impact is linked to the asset valuation that is being worked on.
JAZADCO will also announce any developments in this regard in due course. |
| The costs associated with the event, and if they have changed or not with indication of the reasons. | Not Applicable |