Marble Design Company officially announced the completion of procedures related to the sale of fractional shares resulting from the company's recent capital increase. This announcement confirms the company's commitment to the established timeline for regulatory procedures and implements the resolutions of the Extraordinary General Assembly held on 11 Jumada al-Thani 1447 AH, corresponding to December 2, 2025.
In an official statement published on the Saudi Stock Exchange (Tadawul) website, the company clarified that the sale of fractional shares was successfully completed on December 8, 2025. The company disclosed the precise financial details of the transaction, stating that only 30 shares were sold. These fractional shares were sold at an average price of SAR 5.90 per share, resulting in a total proceeds of SAR 176.84. The company confirmed that these proceeds will be deposited directly into the investment accounts of eligible shareholders.
The mechanism for dealing with fractional shares in the Saudi market
The sale of fractional shares is a common regulatory practice in financial markets, typically occurring when capital is increased through the issuance of bonus shares. Often, each shareholder's allocation is not a whole number of new shares, resulting in what are known as "fractions." Since trading regulations do not permit the ownership or trading of fractional shares, companies pool these fractions into a single portfolio and then sell them on the market at the prevailing market price, distributing the resulting cash to shareholders according to their respective holdings.
The importance of governance and transparency
Marble Design's announcement reflects a clear commitment to the governance and transparency standards mandated by the Saudi Capital Market Authority. The swift completion of the sale and the deposit of funds are positive indicators of the executive management's efficiency in safeguarding shareholder rights. These procedures are particularly important given the significant development underway in the Saudi capital market sector as part of Vision 2030, which focuses on protecting investor rights and enhancing market efficiency.
An overview of the company's sector and its impact
Marble Design operates in the building materials and construction sector, a vital sector experiencing significant growth in conjunction with major real estate projects in the Kingdom. Capital increases contribute to strengthening the financial solvency of listed companies, enabling them to expand their operations and develop production lines to meet increasing demand. The company's completion of the fractional share issue is the final step in finalizing the capital increase, allowing management to focus on upcoming strategic objectives.
