How will the capital increase be executed?

By capitalizing SAR 25.2 million from retained earnings and granting one free share for every two existing shares.

Who was appointed as external auditor?

Ibrahim Ahmed Al-Bassam & Partners was appointed for 2026-2027 with fees of SAR 400,000.

Edarat Approves 50% Capital Increase via Bonus Shares

Q: What happened with the related-party transactions?

The assembly did not approve transactions exceeding SAR 85 million and granted a six-month period to rectify compliance.

Edarat Communication and Information Technology Co. (9557) approved a 50% capital increase from SAR 50.4 million to SAR 75.6 million via bonus shares, rejected related-party transactions exceeding SAR 85 million, and granted a six-month period to rectify compliance issues.

June 15, 2026

2 min read

Source: Saudi Exchange via Sahm Platform

Key Numbers

attendance percentage

62.56%

current capital

SAR 50,400,000

new capital

SAR 75,600,000

increase amount

SAR 25,200,000

bonus share ratio

1 for 2

board remuneration 2025

SAR 750,000

audit fees 2026 2027

SAR 400,000

related party transactions

SAR 85,000,000+

Edarat Communication and Information Technology Co. (EDARAT) announced the results of its Extraordinary General Assembly meeting held on June 14, 2026, with 62.56% shareholder attendance. The assembly approved a 50% capital increase from SAR 50,400,000 to SAR 75,600,000 through bonus share issuance, capitalizing SAR 25,200,000 from retained earnings by granting one free share for every two existing shares.

Key Resolutions

The assembly approved:

50% capital increase via bonus shares.
Board remuneration of SAR 750,000 for 2025.
Appointment of Ibrahim Ahmed Al-Bassam & Partners as external auditor for 2026-2027 with fees of SAR 400,000.
Various governance policies.

Rejected Transactions

Several related-party transactions totaling over SAR 85 million were not approved. The assembly granted a six-month period to rectify compliance issues.

What This Means for Investors

A capital increase via bonus shares does not change the total market value but increases the number of shares outstanding, potentially improving liquidity. The rejection of related-party transactions signals strong governance, though it may delay projects tied to those parties.

Frequently Asked Questions

The assembly approved a 50% capital increase from SAR 50.4 million to SAR 75.6 million.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.