Arabian Cement seeks to buy back 150,000 shares, SAR 595M reserve transfer

Arabian Cement Co.’s board of directors proposed the repurchase of up to 150,000 shares, or 0.15% of its common stock, to be held as treasury shares under its Long-Term Incentive Program (LTIP) in favor of its employees, aimed at attracting and retaining outstanding talent.

The company clarified in a statement to Tadawul that the repurchase will be financed from its own resources, noting that the company currently holds no treasury shares.

The decision is pending shareholders’ approval and the general meeting date will be announced, the company said, adding that it will comply with the solvency requirements.

Shares will be repurchased within a period not exceeding 12 months from the date of shareholders’ approval.

Arabian Cement will retain the repurchased shares for up to five years, and the repurchased shares will not have voting rights at general meetings.

In a separate statement, the company said that the board of directors also recommended the transfer of the statutory reserve of SAR 500 million and the general reserve of SAR 95 million, as of Dec. 31, 2024, to retained earnings.