Saudi Top Trading issues supplementary prospectus on dividends, selling shareholder’s lock-up period

Logo of Saudi Top Trading Co.

Saudi Top Trading Co. issued today, Dec. 8, its supplementary prospectus with regard to the cash dividends planned until 2024 and restrictions on the selling shareholder’s disposal of his shares.

The company received a notice from the selling shareholder Abdullah Al-Ajmi about waiving his share in dividends for the period from 2022-2024.

According to the updated prospectus, the selling shareholder is restricted from disposal of his shares for 12 months starting from the company’s debut on Nomu-Parallel Market. He will be also subject to an additional restriction period of 24 months after the regulatory lock-up period. The selling shareholder may dispose of his shares after the expiry of that period without a prior approval from the Capital Market Authority (CMA).

The selling shareholder was committed to retaining his shares for three years starting from the company’s listing date on Nomu.

Al-Ajmi owns up to 70% of the company’s SAR 40 million capital.

Saudi Top Trading’s share sale started on Nov. 27 and will close on Dec. 8, Argaam earlier reported.

The company’s board of directors recommended a cash dividend at SAR 12 per share for 2022, payable to public shareholders in full directly after the company’s listing. The company will also pay a semi-annual dividend at SAR 12 per share for 2023 and 2024 each to public shareholders.

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