Nofoth BOD recommends capital increase to SAR 48 million by capitalizing SAR 24 million of retained earnings

Nofoth Food Products Company’s board of directors recommended to the extraordinary general assembly a capital increase of 100% via granting the shareholders shares by capitalizing an SAR 24 million of the retained earnings. Each shareholder will be granted 1 bonus share for each 1 share owned by shareholders at the eligibility date.

Company’s capital before increase amounted to SAR 24 million, and it shall amount to SAR 48 million after the increase

The company stated on Tadawul that the capital increase intends to support the company in accomplishing its strategy towards expansion, growth, and maximizing the shareholder’s total return through increasing and diversifying the trademarks while generally seizing the possible growth opportunities in the food sector.

The eligibility date for shareholders holding shares is by the end of the extraordinary general assembly trading day of Nofoth Food Products company (which shall be determined later) and for the shareholders registered in the register of the Issuer’s Shareholders at the Depository Center (Edaa) by the end of the second trading day following the date of the extraordinary general assembly meeting.

In case of bonus shares fractions occurrence, the fractions shall be collected in a single portfolio for all shareholders to be sold at the market price, then divided among the eligible shareholders based on their ownership percentage during a period not exceeding 30 days from the allocation of new shares to each shareholder.