TADCO shareholders reject selling stake in Masader Agricultural for SAR 8 mln

Logo of Tabuk Agricultural Development Co. (TADCO)

Tabuk Agricultural Development Co.'s (TADCO) shareholders rejected the board of directors' recommendation to sell the company's entire 60% stake in Masader Agricultural Feed Mill Ltd. Co. to partner Ahmed Hussein Al-Omari for SAR 8 million, including the factory owned by Ahmed Hussein Al-Omari Foundation, in which TADCO also has a 60% stake. 

Shareholders made their decision during the ordinary general meeting (OGM) held on, Oct. 25, according to a statement to Tadawul. 

The board's recommendation was based on the company's inability to transfer the ownership of the factory to Masader Agricultural, despite the external auditor's repeated notes in this regard. 

If the factory ownership is not transferred to Masader Agricultural before the end of the current fiscal year, the emphasis on the matter mentioned in TADCO's financial statements may turn eventually into a reservation, the statement added. 

Moreover, shareholders rejected the board’s decision to appoint Munir Al-Ghazwi (non-executive board member) as an audit committee member starting from Sept. 3 until the end of the current term on June 30, 2024, in place of Majid Al-Suwaygh (independent board member). 

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