SADAFCO board approves buyback of up to 10% shares

Saudia Dairy and Foodstuff Co.’s (SADAFCO) board of directors have approved the buyback of up to 10 percent, or 3.25 million, of its shares, it said in a statement to Tadawul on Monday.

The company will self-fund the buyback program and will retain the shares as treasury shares.

The approval comes as the board considers the share price on Tadawul to be lower than its fair value, the statement said.

SADAFCO will meet all solvency requirements, and auditor’s report will be submitted as required by the Companies Law.

The decision will be presented for voting at the next extraordinary general assembly.