Maaden shareholders approve global mining assets JV with PIF

Maaden headquarters

Shareholders of Saudi Arabian Mining Co. (Maaden) approved on March 28 the agreement signed with the Public Investment Fund (PIF) to establish a joint venture (JV) to invest in global mining assets.

In a statement to Tadawul, the company said that its shareholders also ratified the board’s proposal not to pay dividend for 2022.

In January, Maaden signed an agreement with the PIF to set up a global mining assets company, Argaam earlier reported.

Maaden noted that the new company’s initial paid-up capital will stand at SAR 187.50 million. The company will finance its share of this investment, totaling SAR 95.63 million, from its own resources.

Maaden and the Kingdom’s sovereign wealth fund agreed that if additional funding is required as the business of the new company develops, both entities shall fund the new company with up to SAR 11.95 billion through capital increases or otherwise as agreed between Maaden and PIF. Accordingly, the mining firm’s maximum contribution in the new company will reach SAR 6.10 billion, unless otherwise agreed in the future.

The agreement term spans the time it will take to establish the new company in its founding documents, unless it is terminated under its terms.