| Element List | Explanation |
|---|---|
| Introduction | Almunajem Foods Announces a Binding Subscription Agreement in Relation to an Investment in Al Jouf Agricultural Development Company |
| Date of Posting the Previous Announcement of Development on Saudi Exchange’s Website | 2026-02-02 Corresponding to 1447-08-14 |
| Hyperlink to the Previous Announcement | Click Here |
| Change on the Development | Almunajem Foods Company (the “Company”) announces that, further to the Company’s announcement dated 2 February 2026 regarding its intention to become a strategic investor in Al Jouf Agricultural Development Company (“Al Jouf Agricultural”), the Company received, on 25/7/2026, a notification from Al Jouf Agricultural Development Company indicating its approval to enter into a binding subscription agreement with Almunajem Foods Company in connection with the potential implementation of a strategic investment. Following the presentation of this notification to Almunajem Foods Company’s Board of Directors, the Board approved entering into the binding subscription agreement on 26/7/2026. The agreement sets out the general framework for the investment through the subscription by Almunajem Foods for 4,500,000 new shares to be issued by Al Jouf Agricultural as part of a capital increase with the suspension of pre-emptive rights. This would enable Almunajem Foods to increase its ownership in Al Jouf Agricultural to up to 20.29% of Al Jouf Agricultural’s share capital following completion of the capital increase, including the 8.3% stake currently held by Almunajem Foods. The agreement includes, among other provisions, a subscription price of SAR 52.5 per new share with a total subscription amount SAR 236,250,000, in addition to the reconstitution of the Board of Directors of Al Jouf Agricultural upon completion of the investment, in accordance with the applicable laws and regulations and subject to obtaining the requisite regulatory approvals. It should be noted that the implementation of the agreement is subject to obtaining the approvals of the Capital Market Authority, Capital Market Exchange (Tadawul) and the Extraordinary General Meeting of the shareholders of Al Jouf Agricultural. |
| Financial Impact on the change | There is no immediate financial impact of this announcement on the Company’s financial results. The financial impact, if any, will be determined at a later stage upon completion of the required regulatory procedures and implementation of the transaction |
| Additional Information | Almunajem Foods will disclose any material developments in this regard in due course, in accordance with the applicable laws and regulations. |
Almunajem Foods Announces a Binding Subscription Agreement in Relation to an Investment in Al Jouf Agricultural Development Company
AI Summary
- Almunajem Foods signed a binding subscription agreement to invest SAR 236.25 million in Al Jouf Agricultural Development Company.
- The company will subscribe to 4,500,000 new shares at a price of SAR 52.5 per share, increasing its total ownership stake from 8.3% to 20.29%.
- The agreement includes a provision to reconstitute Al Jouf Agricultural’s Board of Directors upon completion of the capital increase.
- Final implementation is subject to approvals from the Capital Market Authority, Tadawul, and the Extraordinary General Meeting of Al Jouf Agricultural.
