The shares entitle their holders to the right to receive any dividends that the Company declares from the date of the prospectus and for subsequent financial years. The Company intends to distribute annual dividends to its shareholders in line with the Group’s profits, financial position, restrictions on dividend distribution under financing and debt agreements, results of the Group’s activities, current and future cash requirements, expansion plans, investment requirements, and other factors including the analysis of the Group’s investment opportunities and reinvestment requirements, monetary and capital requirements, trade expectations and the impact of any such distributions on any legal and regulatory considerations. In addition, investors who wish to invest in the Offer Shares should be aware that the Dividend Distribution Policy may change from time to time.

While the Company intends to distribute dividends to its shareholders on an annual basis, the Company does not guarantee the distribution of such dividends or the amounts to be distributed in any given year. The Company’s net profits will be distributed after deducting all general expenses and other costs as follows:

1. The Ordinary General Assembly, when determining the share of shares in the net profits, may decide to form reserves, to the extent that it is in the interest of the Company or ensures the distribution of fixed dividends, to the extent possible, to the shareholders. The said assembly may also deduct from the net profits sums for the social purposes of the Company’s employees. The General Assembly shall determine the percentage to be distributed to shareholders from the net profits after deducting reserves, if any.
2. Based on the Board’s suggestion, the Ordinary General Assembly may set aside reserves of net profit of net profits to build up other reserves that shall be allocated to one or more specific purposes.
3. Subject to the provisions set forth in Article 21 of the Company’s bylaws and Article 76 of the Companies Law, the Board of Directors’ remuneration shall consist of a specified amount, attendance allowance for sessions, in-kind benefits or a certain percentage of net profits.

It is worth noting that the Company did not distribute any dividends in the financial years 2019, 2020, 2021, 2022, and 2023. In addition, there are no arrangements or agreements under which one of the Company’s shareholders has relinquished his rights to receive profits during the year 2023.

Shareholder rights

There are no arrangements or agreements under which any of the Company’s shareholders has waived their rights to profits.

There is no interest in the class of voting shares belonging to persons (other than members of the Company’s Board of Directors, Senior Executives and their relatives) who informed the Company of these rights in the fiscal year 2023.

Employee stock program

The Company decided to set up an employee stock program with the aim of providing incentives for the Company’s distinguished employees to attract and retain them in order to achieve the Company’s goals. Notably, the employee stock program will include employees who are determined by the Board based on performance evaluations, where the Company’s Extraordinary General Assembly on 28/10/1442H (corresponding to 09 June 2021) agreed to set the employees stock program and authorize the Board of Directors to determine its provisions, including the allocation price for each share offered to the employee if it is in return. After completing the offering process, the selling shareholders sold one hundred and ninety-two thousand (192,000) shares of the Company with a nominal value of SAR 10 to be used within the framework of the Company’s Employee Stock Program, in accordance with the resolution of the Extraordinary General Assembly of the Company on 28/10/1442H (corresponding to 09 June 2021).

On 15/05/1445H (corresponding to 29 November 2023) the General Assembly gave approval to purchase a maximum number of (293,770) of its own shares and keep them as treasury shares.

It’s worth noting that the Company has split the nominal value of the share from (10 SAR) per share to (0.50 SAR) per share. As a result, the number of the Company's shares became (209,836,060) instead of (10,491,803) shares, while keeping the Company’s capital unchanged.

Businesses competing with the Group

The Director Mr. Abdulaziz Bin Abdulrahman Bin Mohammed Al Omran is a Director and partner in Impact46, which in turn invests in delivery applications competing with the Group’s business such as the Chefz and Nana applications. The Chefz application delivers food options and gifts to customers while the Nana application delivers purchases from supermarkets, pharmacies, meat merchants, etc. to customers. The Company’s General Assembly issued its approval for the Directors to participate in this competitive business on 01/12/1444H (corresponding to 19 June 2023).

About the Chefz application

The Chefz App works in the food, flower, and perfume delivery business and serves several cities in the Kingdom. The application provides delivery service through a network of delivery partners within scheduled dates or express delivery according to the capacity of restaurants in cooperation with the partners of the Chefz application.

About Nana application

Nana application provides the service of delivering food and products from several sources such as pharmacies, groceries, wholesale markets and various supermarkets. It is focused on collecting products from different sources and delivering them to the customer’s home within specific periods of time and enabling the customer to pay through the application to purchase from different parties.