Nofoth to vote on repurchasing 2.4M shares for ESIP on Sept. 25

According to the company’s statement on Tadawul, the shares are intended for allocation to the employee stock incentive program (ESIP) and will be funded from the company’s own resources.

The board of directors will be authorized to complete the share buyback within a maximum period of 18 months from the EGM approval.

The repurchased shares will be held for no more than five years from the EGM approval date until allocated to employees. After this period, the company will follow relevant regulatory procedures and guidelines, following shareholder approval of the ESIP.

According to data compiled by Argaam, the company’s board of directors recommended on Aug. 3 the repurchase of up to 2.4 million ordinary shares of the company to be held as treasury shares for ESIP.

Currently, the company’s treasury shares represent 30.55% of the total shares being repurchased. The planned buyback represents approximately 2.5% of the company’s total 96 million shares.