Multi Business Group to discuss 200% capital hike process in June

MULTI BUSINESS
9619 -3.34% 7.82 -0.27

Riyadh – Mubasher: Multi Business Group Company has issued a formal invitation to its shareholders to attend an extraordinary general meeting (EGM) scheduled for 25 June 2026 to vote on a substantial capital increase through bonus shares.

The board of directors recommended tripling the company’s capital from SAR 15 million to SAR 45 million, according to a bourse filing.

This strategic move of raising the capital by 200% aims to strengthen the firm’s financial base and facilitate its future growth initiatives.

The proposed capital restructuring involves the capitalization of SAR 30 million from the company’s issue premium account.

Under the terms of the proposal, eligible shareholders will receive two bonus shares for every one share currently held.

Therefore, the total number of outstanding shares will grow from 15 million to 45 million shares after the increase process.

The primary objective of this capital hike is to bolster the corporate capital base, which will in turn support the execution of existing projects and provide the necessary financial framework for future expansion plans.

Shareholders registered in the company’s records at the Securities Depository Center (Edaa) by the end of the trading session preceding the EGM are entitled to attend and participate in the voting process.

For the bonus shares, eligibility is reserved for shareholders who own shares on the day of the EGM and are registered by the end of the second trading day following the eligibility date.

The company has also outlined a procedure for fractional shares, stating they will be consolidated into a single portfolio and sold at market price, with the resulting proceeds distributed to entitled shareholders on a pro-rata basis within 30 days of the final allocation.

Saudi Arabia’s Capital Market Authority (CMA) gave its approval for Multi Business Group to triple its capital in April 2026.

Beyond the capital increase, the assembly will address several key governance and operational matters. Shareholders will vote on amending Article 4 of the company’s Bylaws, which defines the company’s business purposes.

The agenda also includes a vote on the work regulations for the Remuneration and Nominations Committee, as well as a proposed update to the remuneration policy for the Board of Directors, its sub-committees, and executive management.

Source: Mubasher Source: {{details.article.source}}