Riyadh – Mubasher: Hamad Mohammed Bin Saedan Real Estate Company disclosed a significant variance in the actual utilization of proceeds from its capital increase via a rights issue, citing regulatory changes and shifting project requirements, according to a bourse filing.
Under the Capital Market Authority (CMA) rules requiring disclosure for deviations exceeding 5%, the company reported that several capital projects saw actual spending differ substantially from the initial prospectus.
The residential floors project on Block 13 in Al Rimal district, which was allocated SAR 22.70 million, recorded zero actual spending, representing a 100% variance.
Similarly, a residential project on Block 30 in the Namar district of Riyadh utilized only SAR 403,034 of its SAR 15 million allocation, a difference of 95.48%.
For the logistics warehouses in Al Nazeem district, the company spent SAR 6.45 million out of an allocated SAR 16 million, reflecting a 57.30% variance.
The company confirmed that while individual project allocations shifted due to market and technical developments, the total net proceeds remain dedicated to financing capital projects.
On 12 August 2026, the board of directors recommended a formal restudy of the use of proceeds to optimize shareholder returns.
Any proposed amendments to the spending plan will be submitted for shareholder approval at a future general assembly.
