Almarai shareholders approve 10% dividend for 2021, buyback of 10 mln shares

Almarai Co.’s shareholders approved the board's recommendation to distribute a 10% cash dividend, or SAR 1 per share, for 2021, at the extraordinary general meeting (EGM) held on April 12, according to a bourse filing.

They approved the purchase of up to 10 million shares and allocating them within the employee share participation program (ESOP), which will be financed by the company’s own resources. In addition, they authorized the board of directors to complete the purchase in one or several tranches over a maximum period of 12 months from the date of the EGM resolution, as well as to authorize the board of directors to determine the conditions of this program, including the allocation price for each share offered to the designated employees.

The purchased shares will be kept a maximum of 10 years from the date of EGM approval. After the lock-in period ends, the company will follow the procedures and mandatory in the relevant laws and regulations.

They also approved board and auditor reports, as well as financial statements for 2021. Additionally, shareholders approved several business contracts in which company executives have indirect interests.