Riyadh – Mubasher: Saudi Steel Pipe Company’s shareholders approved a significant cash dividend distribution and ratified several related-party transactions during its 21st Ordinary General Assembly meeting.
Held on 25 June 2026, via modern technology from the company’s headquarters in Dammam, the meeting saw a 67.43% shareholder turnout. Key outcomes included the approval of a SAR 37.90 million dividend payout for 2025 and the reappointment of external auditors for the upcoming financial periods.
The assembly, chaired by Mr. Mohammed Al-Shayea, reviewed and discussed the Board of Directors’ report and the consolidated financial statements for the fiscal year ending 31 December 2025.
This distribution equates to SAR 0.75 per share, representing 7.50% of the company’s nominal share value. Eligibility for these dividends was granted to shareholders registered with the Securities Depository Center (Edaa) by the end of the second trading day following the assembly date. The company confirmed that the disbursement of these funds is scheduled to commence on 7 July 2026.
In addition to the dividend approval, the assembly focused on corporate governance and financial oversight. Shareholders voted to appoint Dr. Mohamed Al-Amri & Co. as the company’s external auditor. The firm will be responsible for reviewing and auditing the financial statements for the second and third quarters of 2026, the full-year 2026 results, and the first quarter (Q1) of 2027. The total fees for these professional services were set at SAR 670,000.
A substantial portion of the meeting was dedicated to the ratification of business contracts involving related parties. These transactions, conducted during 2025, involved entities where board members hold indirect interests. Specifically, shareholders approved contracts with Testing and Technical Solutions AR S.A. and Siderca S.A.I.C., both involving non-executive director Mr. Carlos Ferreira.
These agreements covered technical support services totaling SAR 6,330 and SAR 157,147, respectively. Furthermore, the assembly ratified a technical support contract worth SAR 79,669 with Hu Steel Company, involving non-executive director Mr. Hoon Park. The company emphasized that all such contracts were executed without preferential terms.
The assembly also addressed board composition and compensation. Shareholders approved the participation of board member Mr. Hoon Park in activities that compete with the company’s business.
Additionally, a total remuneration package of SAR 2.90 million was approved for the members of the Board of Directors and its various committees for their service during 2025.
The meeting concluded with the attendance of nearly all board members, including Managing Director and CEO Mr. Renwar Berzinji, while Mr. Hoon Park was the sole absentee. The heads of the Audit Committee and the Nomination and Remuneration Committee were also present to address shareholder inquiries regarding the company’s internal controls and governance frameworks.
