Advanced shareholders to vote on 650,700 share buyback for LTIP on April 10

Logo of Advanced Petrochemical Co.

Advanced Petrochemical Co.’s shareholders are set to vote on repurchasing a maximum of 650,700 shares to be allocated for the Employees Long-Term Incentive Program (LTIP), during the extraordinary general meeting (EGM) scheduled for April 10.

Shareholders will also authorize the board to finalize the shares buyback within 12 months from the EGM date. The repurchased shares will be kept no longer than 10 years from the date of the EGM’s approval until they are allocated to eligible employees.

Following the expiry of this period, Advanced will follow the controls and conditions stipulated in the regulatory standards and procedures issued under the Companies Law.

When the EGM convened on March 20, 2022, shareholders had approved repurchasing of 1.5 million shares, with only 849,300 shares bought to date.

The planned 650,700 share buyback will be within the maximum purchase limit of 1.5 million shares, provided if shareholders approve the move during the forthcoming EGM.

Other agenda items include voting on the authorization of the board to distribute interim dividends on a quarterly or semi-annual basis 2023. This is in accordance with the Implementing Regulation of the Companies Law for Listed Joint-Stock Companies which stipulates that dividends should bear the company’s financial position, cash flow, expansion and investment plans.

According to Argaam’s data, earlier this month, Advanced's board recommended repurchasing a maximum of 650,700 shares to be allocated for the LTIP. The move shall be financed through the company’s own funds.