SABIC proposes dividend distribution, maximum board term of 12 years for Clariant

Logo of SABIC

Swiss chemicals maker Clariant AG on Monday, Dec. 28, said its major shareholder Saudi Basic Industries Corp. (SABIC) submitted two items for the agenda of the 26th annual general meeting to be held on April 7, 2021.

The first item seeks special dividend distribution to the shareholders of an amount of Swiss Franc 2.00 per share (SAR 8.4 per share) or such lower maximum amount as can lawfully be distributed to the shareholders pursuant to the company’s audited statutory balance sheet as of Dec. 31, 2020.

The second item requests amendment of Article 20 of the Articles of Association and introduce a time limit of 12 years for members of the board of directors, including the chairperson.

Clariant’s board of directors will address the requests when preparing for the annual general meeting and will define its position, the firm said in a statement.

In January 2018, SABIC acquired 24.99% stake in Clariant from 40North and Corvex Management, according to data available with Argaam.

In March 2020, the Tadawul-listed firm increased its stake in Clariant to 31.5%.

Clariant AG was incorporated as a limited liability company in Switzerland in 1995, and its primary activity is to produce, develop and distribute specialized chemicals, which include plastics, petrochemical catalysts, refining process products, oil purification products, inks and wastewater treatment.

It owns 80 plants at a combined production capacity of 4 million metric tons per annum.