The Minister of Commerce, Osama Faqih, today announced the formation of a National Energy Stock Company, with a capital of SR200 million.
The number of shares for the Riyadh-based Company is fixed at 4,000,000. Each share has a value of SR50. So far the eleven founders of the Company have paid 50 per cent of the total value of the shares.
The company will invest in projects of power generation, transportation and operation, water desalination, sewerage, and real estate. According to the statutes of establishment of the Company, it will not be allowed to circulate its shares before two complete fiscal years. Members of the Company’s Board of Directors will be appointed by the General Assembly of its shareholders for a period of three years.
Establishment of the Company is part of the state’s policy aimed at broadening the Kingdom’s economic base, diversifying sources of national income, and encouraging the private sector to play an enhanced role in promoting economic development.
Source: SPA
