Emaar EC shareholders to vote on agreements with PIF on June 26

Logo of Emaar The Economic City (Emaar EC)

Emaar The Economic City's (Emaar EC) shareholders are invited to attend an ordinary general meeting (OMG) scheduled for June 26 to vote on transactions and contracts between the company and the Public Investment Fund (PIF) related to a non-binding loan agreement from a shareholder.

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The agreement includes an option to convert the loan into equity, giving PIF the right to acquire ownership in the company worth SAR 1 billion.

According to a statement on Tadawul, the OMG agenda also includes voting on the mortgage assignment agreement linked to the loan transfer agreement from the Ministry of Finance to PIF. This involves the transfer of a SAR 2.91 billion loan for a period of seven years.

The meeting agenda also includes several other items, the statement noted.

In March, Emaar EC’s board recommended to amend a previous proposal to increase the company’s capital by converting debt owed to the PIF into new ordinary shares, Argaam earlier reported.

The value of the debt to be converted was raised from SAR 3.97 billion to SAR 4.11 billion to include all interest, fees, and commissions as of Dec. 31, 2024.