Aramco BOD recommends increasing capital to SAR 90 billion by granting one share for every 10 shares

12 Mar 2023

Riyadh - Maaal

The Board of Directors of the Saudi Arabian Oil Company (Saudi Aramco) recommended to the Extraordinary General Assembly to increase the Company’s capital by 20% by granting bonus shares. Such an increase will be via capitalising SAR15,000,000,000 from the retained earnings. Each shareholder will be granted one bonus share for every ten shares owned.

The Company said today on Tadawul that the Capital before the increase is SAR 75,000,000,000, but the Capital after the increase is SAR 90,000,000,000 with a percentage of Capital increase of 20 %.

The Company explained that the number of shares before the Capital increase is 220000000000, but the number of shares after the Capital increase is 242000000000.

اقرأ المزيد

This aligns with the Company’s aim to maximise shareholders’ total returns through the distribution of sustainable and progressive dividends in line with future prospects, underlying growth in free cash flow, and long-term value creation through investments in available opportunities.

The eligibility of the bonus shares shall be for shareholders who own the shares by the end of the trading day of the Company’s Extraordinary General Assembly meeting date (which will be announced later) and are registered in the Company’s shareholders record at the Securities Depository Center Company (Edaa) at the end of the second trading day following the Extraordinary General Assembly meeting date.

In case there were bonus shares fractions, the Company will collect all fractions in one portfolio for all shareholders to be sold at market price, then the amount will be distributed among the eligible shareholders proportionately as per ownership percentage within a period not exceeding 30 days from the date of determining the due shares for each shareholder.

The proposed grant is subject to obtaining necessary approvals from competent authorities and the Extraordinary General Assembly on the capital increase and number of granted shares.