East Pipes GA approves BOD recommendation to increase capital to SR315 mln through distributing bonus shares

East Pipes Integrated Company for Industry announced on Thursday the Results of the Extraordinary General Assembly Meeting, which includes the Company’s Capital Increase (First Meeting) which was held at on Wednesday October 19, 2022, after completing the legal quorum for the validity of the assembly meeting according to the company’s articles of association.
The Voting results:
Approval of the Board of Directors’ recommendation to increase the company’s capital from SR210 million to SR315 million through the distribution of bonus shares to shareholders, according to the following:
– The company’s capital will be increased by capitalizing an amount of SR105 million from the retained earnings account, and the shareholders will be granted one (1) share for every two (2) shares owned in the company.
The company’s capital before the increase is SR210 million, and after approval of the increase it will become SR315 million, an increase of 50%.
The company aims, through the capital increase, to maximize the total shareholder wealth that balances investment growth and shareholder distribution, in line with future aspirations and growth in free cash flow, and creating higher value in the long run by investing in the many opportunities available to the company.