Al-Baha Investment and Development Co. Announces Filing a complaint against the former members of the Board of Directors for the term from February 10 February 2010 to 9 February 2013, with the Capital Market Authority, seeking compensation, jointly and severally, in the amount of 100 million Saudi riyals.
| Element List | Explanation |
|---|---|
| Introduction | Al Baha Investment and Development Company would like to announce to its shareholders that on Thursday, 10 Dhu al-Qi 'dah 1446 , corresponding to 8 May 2025, it filed a complaint against the members of the Board of Directors of Al Baha Investment and Development Company (previously), who were members of the Board of Directors for the term from 10 February 2010 to 9 February 2013, with the Capital Market Authority. |
| Lawsuit Opponent | Members of the Board of Directors of Al Baha Investment and Development Company (formerly) who were members of the Board of Directors for the term from 10 February 2010 to 9 February 2013. |
| Name of the Plaintiff | Lawyer of Al Baha Investment and Development Company |
| Type of the Lawsuit | Financial compensation of 100 million riyals, in addition to attorney fees. |
| Name and Location of the Competent Judicial Authority | Capital Market Authority and Committee for Resolution of Securities Disputes |
| Date of Submitting the Lawsuit | 2025-05-08 Corresponding to 1446-11-10 |
| Summery of the Lawsuit and its Reasons | The previous members of the Board of Directors of Al Baha Investment and Development Company, serving from 10 February 2010 to 9 February 2013, signed a contract to sell the assets of Al Baha Investment and Development Company, pursuant to which the company purchased a crusher, a cement concrete project, and a holocore project from Al Satah Company for a price of (86) million Saudi riyals, as follows:
A. A cash amount of (10) million riyals. B. The remaining price shall be paid in kind in the form of a waiver of the entire assets of Al Baha Investment and Development Company, which comprise: (1): (50%) of the entire land in the Al Murooj project located in Al Sail Al Sagheer in Taif, with an area of (114,000 m2). (2): The land with an area of (993,300 m2) located west of the western corner of Al Aqiq Governorate Airport, including the poultry project on which it is located, along with all its facilities and fixed and movable assets. (3): Ownership shares in Al Baha Private College Company, estimated at (18) million Saudi Riyals. |
| Expected Financial Impact Including the Claimed Sums, Fees and any other Charges | An amount of 100 million Saudi riyals
First: Reversing the entire provision previously established by the company in the amount of SAR 84,003,717. Second: Financial compensation in the amount of SAR 15,996,283 for the damages incurred by the company and its shareholders due to the sale contract that resulted in the suspension of stock trading. Third: The value of attorneys' fees. |
| Any Substantial Legal, Regulatory, or Operational Risks that may Result from the Lawsuit, including the Results of such Impact on the Company's Financial, Legal or Operational Standing | At this stage, the legal implications and risks of this case cannot be determined, and any developments regarding this case will be announced in due course. |
| Measures Taken by the Company, including the Estimation of the Potential Liability Resulting from the Lawsuit | At this stage, the legal implications and risks of this case cannot be determined, and any developments regarding this case will be announced in due course. |
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