Maaden shareholders to vote on setting up global mining assets JV with PIF on March 28

Maaden headquarters

Shareholders of Saudi Arabian Mining Co. (Maaden) will vote on the agreement signed with the Public Investment Fund (PIF) to establish mining assets joint venture (JV) to invest in global mining assets during the ordinary general meeting (OGM) scheduled for March 28.  

In a statement to Tadawul, Maaden said that the JV’s initial paid-up capital will amount to SAR 187.5 million. Ma’aden will finance its share of this investment, totaling SAR 95.63 million from its own resources.

If additional funding is required as the business of the new company develops, Ma’aden and the PIF agreed that they will fund the new company by up to SAR 11.95 billion. Hence, Ma’aden’s maximum contribution will stand at SAR 6.1 billion unless otherwise agreed by both parties.

The term of the agreement shall be co-extensive with the term of the planned JV as identified under the constitutive documents unless such agreement is terminated earlier. Some board members abstained from voting on this clause. The agreement was made with no preferential conditions or benefits.

Yasir Al-Rumayyan, Khalid Almudaifer, Mohammed Al-Qahtani, Richard O'Brien, Ganesh Kishore, and Sofia Bianchi have indirect interest in the deal, as they represent the sovereign wealth fund on Maaden’s board.

The shareholders will also vote on the board’s proposal for paying no dividend for 2022. They will start e-voting on the agenda items on March 24, the mining firm added.

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