Saudi Printing and Packaging Co. Announcement of the Board of Directors' Resolution to Cease the Operations of one of its Subsidiaries in the United Arab Emirates.

This resolution is an activation of the second pillar of the Strategic Roadmap, which mandates the evaluation of divestment options for non-strategic assets, as the Board’s decision to halt operations is intended to reallocate the Group’s operational resources and capital towards high-growth packaging segments and high-value-added sectors within the Company’s primary target markets.

Furthermore, and consistent with the fifth pillar of the Company’s strategy, the cessation of operations aims to facilitate the debt restructuring program and optimize liquidity management by eliminating the financial outflows associated with non-profitable operations, which is expected to mitigate financial liabilities, strengthen the consolidated financial position, and enhance the Group’s overall operational efficiency, thereby delivering sustainable long-term value to the shareholders.

The Company will proceed with assessing all implications arising from the decision to cease operations; furthermore, any material developments or the final financial impact regarding this resolution will be disclosed in due course, in accordance with the applicable laws and regulations.