SIIG shareholders approve 10% capital cut; trading halted for 2 business days 

A SIIG factory

Saudi Industrial Investment Group’s (SIIG) shareholders approved, during the extraordinary general meeting (EGM) held on May 21, the board’s proposal to cut capital by 10% from SAR 7.54 billion to SAR 6.8 billion.

The decision was taken as the capital is in excess of the company’s needs, according to a Tadawul statement.

In addition, shareholders authorized the board of directors to distribute interim dividends on a quarterly or semi-annual basis for 2025.

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They further approved the board’s recommendation to repurchase 11 million ordinary shares, and allocate 10 million as treasury shares, as the board deems the current stock price to be below its fair value. The remaining one million treasury shares will be allocated to the long-term employee incentive program.

The EGM also approved the employee incentive program, with the board being authorized to adopt any future amendments to the program.

In a separate statement, the Saudi Exchange (Tadawul) said that the fluctuation limits for SIIG shares will be based on a price of SAR 14.84. Accordingly, all existing orders will be canceled.

The trading of the company’s shares will be suspended, in accordance with the Listing Rules, for two working days starting May 22.

The Securities Depository Center Company (Edaa) will apply the share reduction in the shareholders’ investment portfolios.

Trading of SIIG’s shares will resume at the end of Sunday’s (May 25) session.