Naqi Water board bonuses ‘modest’, IPO shares priced at SAR 69 despite SAR 84 valuation: Chairman

Naqi Water Chairman Amin Al-Mallah said the company is currently establishing a factory in Riyadh, while its poultry plant is set to commence production soon

Naqi Water Co.’s board bonuses are modest compared with those of other companies despite making a profit, said Chairman Amin Al-Mallah.

He added that he personally waived part of his bonus on several occasions.

On his Snapchat account, Al-Mallah said some companies incur losses but still distribute board bonuses of up to SAR 10 million.

However, Naqi Water follows a more restrained approach, he said.

Al-Mallah said that during the company’s initial public offering (IPO), AlJazira Capital valued the shares at SAR 84. However, he requested that the IPO price be set lower at SAR 69, leading the company to forgo around SAR 90 million in potential proceeds.

The Chairman said the decision was made in the interest of investors and shareholders.

He stated that Naqi Water went through a challenging period during which dividend distributions were suspended for approximately 2.5 years, as it focused on settling its financial obligations.

The company is currently establishing a factory in Riyadh, with its poultry plant set to commence production soon, Al-Mallah said.

According to data available with Argaam, Naqi Water’s board of directors recommended adopting the company’s dividend distribution policy for the next three years.

The policy includes dividends of SAR 2 per share for 2026, SAR 3 per share for 2027 and SAR 4 per share for 2028.

The company received two letters from major shareholders, Al-Mallah and United Seqa Group, as they agreed to waive 50% of dividends in 2026, 55% in 2027, and 60% in 2028.