NADEC shareholders OK reserve transfer, 1M shares buyback

Logo of National Agricultural Development Co. (NADEC)

National Agricultural Development Co.’s (NADEC) shareholders approved on April 16 the transfer of the statutory reserve balance of SAR 193.79 million to the retained earnings of SAR 1.12 billion.

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Both account balance are as of Dec. 31, 2024, NADEC said in a statement to Tadawul.

Shareholders also approved the employee stock program and authorized the board to determine its terms, including the price of shares to employees, if offered for a price.

Additionally, they approved the purchase of a maximum of one million of the company shares to allocate to employees under the Long-Term Incentive Program (LTIP).

The repurchase will be financed through the company’s own resources.

Shareholders also authorized the board to complete the transaction within 18 months of the resolution.

NADEC will retain the repurchased shares for maximum five years, until allocated to eligible employees.

After the five-year period, the company will follow the procedures and regulations stipulated in the applicable laws and regulations.