Jabal Omar Development Co. — Capital/Financing Update 2023

Dec 20, 2023

JABAL OMAR DEVELOPMENT COMPANY ANNOUNCES THE BOARD’S RECOMMENDATION TO INCREASE ITS SHARE CAPITAL THROUGH DEBT CONVERSION

4250 · 20/12/2023 15:56:20 · Announcement #77423 · View on Saudi Exchange

JABAL OMAR DEVELOPMENT COMPANY ANNOUNCES THE BOARD’S RECOMMENDATION TO INCREASE ITS SHARE CAPITAL THROUGH DEBT CONVERSION

Element List	Explanation
Introduction	Further to the announcement made by Jabal Omar Development Company (the “Company”) published on the Saudi Stock Exchange (Tadawul) website on 7-6-1445 corresponding 20-12-2023 in relation to the execution of the debt settlement agreements with Central District Cooling Company and Makkah Construction and Development Company (the “Creditors”), the Company announces that its Board of Directors has recommended the increase of the Company’s capital by way of debt conversion into new ordinary shares in the Company to the Creditors.
Date of Board Meeting	2023-12-20 Corresponding to 1445-06-07
The total amount of debts that the company intends to convert	Five hundred forty-seven million and four hundred ninety-eight thousand and two hundred nine Saudi Riyals (SAR 547,498,209).
Reasons for the Capital Increase	The objective of the debt conversion is to settle the outstanding debt owed to the Creditors, which as a result will improve the Company’s liquidity, financial indicators, and enhance its ability to achieve its growth objectives.
Approvals	The approval to increase the Company’s capital by way of debt conversion from the competent authorities and any other third parties for which their approvals are necessary to implement the proposed transaction and the approval of Company’s extraordinary general assembly on the proposed transaction.
Appointment of a Financial Advisor and the Submission of the Application File for Capital Increase through Debt Conversion to CMA	The Company has appointed ANB Capital as a financial advisor to manage the Company’s capital increase (by way of debt conversion) application; and shall announce the submission of the application to the Capital Market Authority for approval in due course.

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