EIC discusses capital increase to SAR 562.5 mln by capitalizing SAR 112.5 mln from retained earnings, on June 21

The Board of Directors of Electrical Industries Co. invited its shareholders to participate and vote in the Extraordinary General Assembly meeting which includes capital increase (First meeting), through Modern Technology means.

Meeting Agenda:

1-Voting on the Board of Directors recommendation to increase the capital of the Company by granting bonus shares as follows:

A-Total amount of increase: SAR (112,500,000)

B-Capital before increase: SAR (450,000,000). Capital after increase: SAR (562,500,000). Increase percentage 25%

C-Number of shares before increase: (45,000,000) share. Number of shares after increase: (56,250,000) share.

D-The Company aims to support and strengthen its financial position to achieve the Company’s business growth strategy.

E-The increase will be through capitalization of SAR (112,500,000) from retained earnings, by granting (1) share for every (4) shares.

F-In case of shares fractions, the fractions will be collected in one portfolio to be sold at market price, then the value will be distributed to eligible shareholders each by their share within a period not exceeding (30) days from the allocation of new shares to each shareholder.

G-If capital increase is approved by the Company’s shareholders during the Extraordinary General Assembly meeting, the eligibility of bonus shares shall be for shareholders owning the shares by the end of trading day of the General Assembly meeting and are registered in the Company’s Shareholders Registry at the Securities Depository Center (Edaa) by the end of the second trading day following the Extraordinary General Assembly meeting date.

-Amend Article (7) of the Company’s By-Laws relating to capital and shares (attached).

-Amend Article (8) of the Company’s By-Laws relating to subscription in shares (attached).

2-Voting on the amendment of the Company’s bylaws to be in line with the new companies Law