The General Assembly of “First Avenue” approves an increase in capital to 300 million riyals

The Board of Directors of First Avenue Real Estate Development Company announced the results of the extraordinary general assembly meeting (first meeting) held yesterday, Monday.

The company said in a statement on its website "Saudi Arabia trading"The results of the vote on the Assembly’s agenda included:

1- Reviewing the Board of Directors’ report for the year ending December 31, 2025.

2- Reviewing the financial statements for the fiscal year ending December 31, 2025.

3- Approving the external auditor’s report for the year ending December 31, 2025 after discussing it.

4- Approving the appointment of Faris Mazars, With a total fee of 440 thousand riyals.

5- Approval of authorizing the Board of Directors to distribute interim dividends during the fiscal year 2026 on a semi-/quarterly basis for the year ending on December 31, 2026.

6- Approval of the proposed amendments to the audit committee regulations.

7- Approval to purchase the company’s shares not to exceed 3 million shares of its common stock, and to retain them as treasury shares for a maximum period of 5 years, This is for the purpose of using them in exchange operations in exchange for the acquisition of shares or stakes in another company or the purchase of an asset, as the Board decides, and authorizing the Board to use them for this purpose as it deems appropriate, and approving the authorization of the Board of Directors to complete the purchase of the shares referred to above within a period not exceeding 12 months from the date of the extraordinary general assembly’s decision, whether in one stage or several stages, in accordance with the rules and regulations issued by the Capital Market Authority and the relevant regulatory bodies.

8- Approval of increasing the company’s capital through capitalization, by issuing 95 million new shares, representing an increase of 46.34% in the current capital, and distributed as follows:
(1) 92,249,711 shares as bonus shares for shareholders, with 9 shares for 20 existing shares, which represents (97.1%) of the increase in the company’s capital, and (2) 2,750,289 new shares for treasury shares for the purpose of allocating them to the employee incentive program. "Employee shares" Which represents (2.9%) of the increase in the company’s capital and is referred to as "Increase capital" It is as follows:

– Capital before the increase is 205 million riyals.

– Capital after the increase: 300 million riyals.

– Percentage of capital increase: 46.34%.

– Reasons for the increase are strengthening the company’s financial position.

– The rate of increase for each share is 9 shares for 20 outstanding shares.

– The total amount of the increase: 95 One million riyals.

– The number of shares before the increase: 205 million shares.

– The number of shares after the increase: 300 million shares.

– The capital increase by capitalizing an amount of 95 million riyals from the share premium account.

– The eligibility date for the bonus shares for the company’s shareholders who own the shares will be on the day of the extraordinary general assembly who are registered in the company’s shareholder registry at the Securities Depository Center Company (Depository Center). At the end of the second trading day following the entitlement date.

– Collecting the fractions of shares resulting from the grant in one portfolio and then selling them in the market within a specified period after the eligibility date, provided that the proceeds of the sale are deposited in the accounts of the shareholders, each according to their ownership, within a period not exceeding (30) days from the date of determining the shares owed to each shareholder.

– Or the eligibility for the bonus shares shall be for the shareholders who own the shares at the end of trading on the day of the extraordinary general assembly meeting of the company that is considering increasing the capital and who are registered in the register. The company’s shareholders at the Securities Depository Center Company (Edaa) at the end of the second trading day following the date of the meeting.

– Amending Article (7) of the company’s bylaws relating to capital to be consistent with the impact resulting from increasing the company’s capital.

– Amending Article (8) of the company’s bylaws relating to subscription to shares to be consistent with the impact resulting from increasing the company’s capital.

9- Approval of the works and contracts concluded between the company and Dar Company. Al Majid Real Estate, in which board member Abdul Salam bin Abdul Rahman Al Majid has an indirect interest as a managing member of Dar Al Majid Real Estate Company, which is the purchase of 552,918 units in the Bloom Real Estate Investment Fund – 1 from Dar Al Majid Real Estate Company at a purchase price of 627.53 riyals per unit, with a nominal value of 1,000 riyals per unit, and a total amount of 3,469,726.33 million riyals, which are works and contracts carried out in the course of business. Ordinary and without preferential conditions or benefits.

10- Approval of the intended business and contracts between the company and member of the Board of Directors, Nader bin Hassan Al-Omari, which is a revolving good loan from Nader to the company without profits, with a maximum loan limit of 100 million riyals, provided that the withdrawal is made according to the company’s need and the withdrawn loan amounts are repaid in cash. It is permissible – with the approval of the Board of Directors or its authorized representative – that payment be made in kind or through clearing with any existing obligations between the two parties, at fair value. In accordance with the relevant laws and regulations, and in a manner that does not entail any preferential conditions or benefits for the other party.

11- Approval of the business and contracts concluded between the company and Bank Al Jazira, in which Board Member Mohammed bin Abdul Karim Al Nafi has an indirect interest in his capacity as a Board Member of Bank Al Jazira, which is represented in a credit facility agreement compatible with the provisions of Islamic Sharia in the amount of 315 million riyals, concluded in the course of the company’s normal business and without conditions or benefits. Preferential.

12- Approval of the works and contracts concluded between the company and Board Member Khalid bin Hassan Al-Qahtani, which is the purchase of 250,000 units of the Jadwa Capital Avenue Real Estate Fund as part of the company’s acquisition of the Business Avenue project – Kairouan, at a value of 3,307,500 million riyals. These are works and contracts carried out in the normal course of business and without preferential conditions or benefits.

13- Approval of the works The contracts that were concluded between the company and the Jadwa Al-Shurfa Real Estate Fund, in which board member Nader Al-Amri has an indirect interest, in his capacity as an investor in the fund, are a land sale contract worth 35 million riyals, and they are works and contracts that are carried out in the course of normal business and without preferential conditions or benefits.

14 – Approval of the works and contracts that were concluded between the company and Hawiyah Auctions Company, in which board member Nader bin Hassan Al-Omari has an indirect interest in his capacity as a board member in Hawiyah Company, which is a marketing and sale agreement for 28 units. Residential units in the Al Nakheel neighborhood, in exchange for a marketing commission of (2.5%) of the value of each unit sold, which are works and contracts carried out in the normal course of business and without conditions or preferential benefits.

15- Approval of the works and contracts that were concluded between the company and Dar Al Majid Real Estate Company, in which the member of the Board of Directors, Abdul Salam bin Abdul Rahman Al Majid, has an indirect interest, as he is a managing director of Dar Al Majid Real Estate Company, which is the purchase of two residential units in the Palm Oasis project for a value of 4,571,428 million riyals, which are works and contracts carried out in the normal course of business and without preferential conditions or benefits.

16- Approval of the contract to be concluded between the company, Zakhalid bin Hassan Al-Qahtani, and Abdul Mohsen bin Hassan Al-Qahtani, related to the payment of the outstanding debt owed by the company since 2024, at a value of 20 million riyals, in the normal course of business and without preferential conditions or benefits.

17- Approval of the contract to be concluded between the company and the heirs of Muhammad Bashir Qarqouri, may God have mercy on him, related to the payment of the company’s outstanding debt since 2024, amounting to 11,864,107 million riyals, and settling it in cash or in kind, in the normal course of business and without conditions or preferential benefits.

18- Abstaining from voting on delegating the Board of Directors to the Ordinary General Assembly with the authorization contained in the license contained in Paragraph 1 of Article Twenty-Seven of the Companies Law, for a period of one year from the date of approval by the General Assembly or until the end of the session of the authorized Board of Directors, whichever comes first, in accordance with the conditions contained in the executive regulations of the private companies system for listed joint stock companies.

19- Approval of the license for Board Member Nader bin Hassan Al-Amri to carry out a competing activity, which is real estate development activity.

20- Approval of the license for Board Member Abdul Salam Bin Abdul Rahman Al Majid to carry out a competing activity, which is real estate development. Real estate development.

21- Approval of a license for a member of the Board of Directors, Mohammed bin Abdul Karim Al-Nafi, to carry out a competing activity, which is the real estate development activity.

22- Approval of a license for a member of the Board of Directors, Khalid bin Hassan Al-Qahtani, to carry out a competing activity, which is the real estate development activity.

23- Approval of a license for a member of the Board of Directors, Osama bin Muhammad Bashir Qarqouri, to carry out a competing activity, which is the real estate development activity.

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