MEPCO to vote on reallocating over SAR 291m for project, agenda items next month

MEPCO
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Riyadh — Mubasher: Middle East Paper Company (MEPCO) announced a board recommendation to reallocate SAR 291.12 million of share issuance proceeds to its fifth paper production line (PM5) project.

The board proposal will be discussed during the ordinary general meeting (OGM) scheduled for 15 September 2026, according to a bourse filing.

The funds were originally earmarked for acquisitions in the corrugated carton industry under a 10 December 2023 prospectus and will now be used to support the strategic expansion of the PM5 project.

The proposed shift increases the planned allocation for the PM5 project from SAR 174.81 million to SAR 465.93 million, representing a 167% leap.

MEPCO stated that the adjustment aims to limit reliance on external financing and prioritize resources toward key internal infrastructure.

The agenda also includes a vote on approving SAR 487,500 in additional fees for the company’s auditor, Ernst & Young Professional Services (EY), for extra audit work related to the 2025 fiscal year.

The meeting requires a 25% quorum of the SAR 866.67 million paid-up capital to be valid.

Attendance and voting will be conducted virtually through the Tadawulaty system.

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