Press Releases

26 October 2007

Salam International Ordinary General Assembly held on 21-10-2007

Salam International Investment Limited (SIIL) held its ordinary General Assembly on 21-10-2007 to discuss the announced agenda and took the appropriate decisions as follow:
The General Assembly listened to the Board of Directors’ Report regarding joint ventures between Salam International and Salam Bounian for Development (SBD) and the increase of SIIL’s equity percentage in SBD through the purchase of additional shares offered by SBD founders-shareholders.

The board showed in its report the cooperation basics justification and joint ventures projects with SBD and SIIL’s intention to invest in real estate development through SBD. Also due to SBD’s growth potential, the board showed its intention to increase SIIL’s equity percentage in SBD to become 50% of SBD capital, either through one batch or several batches

In addition, the board informed the general assembly of SIIL’s offer to purchase 10 million shares of SBD’s shares offered by founder-shareholders based on SIIL’s offer terms and conditions. The total number of offered shares is around 6.5 million shares.

Since some of SIIL’s board members or their subsidiaries are among those offering shares, and to avoid any potential conflict of interest and implementing to disclosure, transparency and corporate governance principles and commercial companies’ law 5, 2002, article no: 108, the board recommends the following:

  • To confirm the General Assembly’s approval regarding any Joint venture projects between SIIL and SBD including investing the company’s real estate property for SBD’s first development project “The Gate”. Also to delegate the Board of Directors to take the appropriate decisions regarding these issues and to comply with all requirements of the concerned authorities and financial institutions.
  • To approve purchasing of SBD shares offered by SIIL Board members as mentioned BOD report to GA, and any other shares that might be offered in the future in accordance to SIIL’s offer terms and conditions until SIIL’s percentage is equal to 50% of SBD’s capital, and delegate the Board of Directors to take the appropriate actions to finalize this issue.
  • To approve purchasing of new shares in case some of the offering shareholders fail to sign share sales agreements within one month. So that the total shares in the first sale batch does not exceed 6.5 million shares as announced and approved by BOD and priority should be according to date of offer submission.

The General Assembly unanimously decided to approve the Board’s recommendation and delegate the Board of Directors to take all necessary actions to purchase any more shares in future to enable SIIL’s equity to reach 50% of SBD’s capital.

It is worth noting that purchasing additional shares of SBD is primarily approved. The company may decide not to continue purchasing at its own discretion depending on future developments in order to protect the interests of the company and its shareholders. The company emphasizes that this should be taken into consideration by both shareholders and interested investors.