JAZADCO shareholders disapprove stock split

Logo of Jazan Energy and Development Co. (JAZADCO)

Shareholders of Jazan Energy and Development Co. (JAZADCO) disapproved the board of directors’ recommendation to reduce the stock’s nominal value from SAR 10 to SAR 1 a share, during the extraordinary general meeting (EGM) held on Dec. 26. 

However, shareholders approved the board’s proposal to transfer a part of SAR 85.41 million in statutory reserve to fully offset the company’s accumulated losses, amounting to SAR 29.7 million, or 5.94% of capital, as on Dec. 31, 2023. The remaining SAR 55.7 million will be transferred to JAZADCO’s retained earnings.

Other agenda items including voting on the board’s recommendation to change the company’s name from “Jazan Energy and Development Co.” to “Jazan Development and Investment Co.”, coupled with adding new business activities, were ratified.