SABB shareholders approve buyback of 4 mln shares for employee incentive plan

A branch of Saudi British Bank

Saudi British Bank’s (SABB) shareholders, during the extraordinary general assembly meeting (EGM) held on March 31, 2021, approved the bank’s purchase of its own shares, a maximum of 4 million shares, at an amount not exceeding SAR 115 million, to be allocated to the Long-Term Incentive Program (LTIP) for employees, the bank said in a statement to Tadawul.

The purchase of these shares will be financed through the bank’s own resources.

The shareholders authorized the board (or who it delegates) to complete the purchase within 12 months from the date of the approval.

They also authorized the board to determine the terms of the program and its implementation, including the allocation price for each share offered to employees, if any, and to be kept no longer than 10 years from the date of approval.

The shareholders approved the board’s recommendation to transfer SAR 9.06 billion from the share premium reserve of SAR 17.6 billion to statutory reserve, so that the statutory reserve ratio becomes 100% of the capital.

They also authorized the board to distribute interim dividends on a semi-annual or quarterly basis for 2021.