Unlisted Companies News - Overview & Highlights - 28 July to 1 Aug 2024

Boursa Kuwait has announced the delistings of Tameer Real Estate Investment Company (TAAMEER) and Al-Massaleh Real Estate Company (MASSALEH) from the main market effective Sunday, August 4, 2024, following a decision by the Capital Markets Authority's board of commissioners.

OTC 933 Kuwait Clearing Company (KCC) has requested the Capital Markets Authority (CMA) to retain its current status as a closed shareholding company and not convert into a holding company. Sources indicate that KCC is focused on finalizing its business plan and strategy, particularly regarding its internal systems and its crucial role in market development. KCC anticipates completing its new system, which includes launching the central counter party system and the qualified broker, after conducting tests by the end of August.

OTC 320 Watani Investment Company, trading as NBK Capital, has announced to its shareholders that CMA has approved the draft merger contract for the annexation of Watani Investment Company and Watani Financial Brokerage Company (WFBC).

In this merger, Watani Investment Company will act as the merging entity, while Watani Financial Brokerage Company will be the entity being merged.

Watani Investment Company emphasised that the merger is subject to the approval of the extraordinary general assemblies of both companies. The dates for these assemblies will be announced at a later time, after all necessary regulatory procedures and approvals have been completed.

OTC 339 Ahli Capital Investment Company (ABK Capital), the investment arm of Ahli Bank (ABK), announced the successful completion of the capital increase procedures for Arabi Holding Group. The subscription for this increase was oversubscribed by 377%, indicating significant interest from shareholders and investors in participating in the offering.

CMA has further announced that it has granted approval to OTC 339 Ahli Capital Investment Company (ABK Capital) to establish the Ahli Capital Fund for Money Markets in KD. Approval has been granted to create the Ahli Capital Fund for Kuwaiti Dinar Money Markets, which will be open for public subscription and feature variable capital ranging from a minimum of KD 2 million to a maximum of KD 1.5 billion, with a nominal value of KD 1 per unit.

In his address during the thirteenth annual report for FY 2023/2024, Chairman Dr. Ahmed Al-Malhem highlighted the CMA's achievements in line with its third strategic plan, which focuses on capital market development, collaboration, and institutional empowerment. The CMA aims to enhance Kuwait's capital market status while supporting economic development and contributing to Kuwait's Vision 2035.

Key initiatives include promoting financial inclusion, transitioning to sustainable economies, and developing the Islamic financial sector. The CMA is also exploring mechanisms for small and medium-sized enterprises and evaluating a new platform for their share trading. The Authority has maintained a top ranking for governance compliance and received ISO 22301 certification for business continuity.

Results from previous assembly meetings

OTC 1006 AlSoor International Holding Company has approved the distribution of cash dividends of 14% (14 fils per share) to shareholders to the value of KD 7 million for the 2023 financial year.

So far this year 76,195 shares in AlSoor International have been traded through 5 deals at a volume weighted average price of 51.3 fils per share.

During the recent Extraordinary General Assembly of AlDawly Takaful Insurance Company, an amendment to Article No. (13) of the Articles of Association was approved. The revised article stipulates that the company will be governed by a Board of Directors consisting of seven members, elected by the General Assembly through secret ballot, including two independent members. 

Shareholders, both individuals and legal entities, may appoint representatives from the elected Board members. However, shareholders can only appoint representatives for ownership percentages that exceed the criteria for their appointments. Additionally, groups of shareholders can form alliances to appoint one or more representatives based on their combined ownership. Board members will serve a term of three years, which can be renewed.

Following its extra ordinary assembly meeting, First Bahrain Real Estate Company has announced a reduction of its authorised, issued, and paid-up capital from KD 20 million to KD 19.2 million. An amount of KD 742,453 will be used to eliminate accumulated losses as of December 31, 2023. The remaining cash will be distributed to shareholders recorded on the assembly date, with each receiving an amount proportional to their shareholdings. For more details about the assembly meeting results, visit our website.

The extraordinary general assembly of Rawahel Holding Company, approved the company's continuation without any changes to its capital, following a violation report received from the Ministry of Commerce. This report highlighted that the financial statements indicated losses exceeding 75% of the company's capital, in accordance with Article 271 of the Companies Law.  The company is required to convene an extraordinary assembly to discuss its future and ongoing operations.

At recent assembly meetings, a number of unlisted Companies have approved amendments to their articles of associations:

• United Steel Industrial Company approved amendments to Articles 4 and 5 of its Articles of Association regarding the company's objectives. 
• OTC 692 Inc Technologies Company held its extraordinary general assembly on Thursday, June 13th, 2024, and agreed to amend the text of Article 5 of its Articles of Association and Article 4 of its bylaws regarding the company's objectives.  
• OTC 545 Aldhow for Environmental Projects has amended its objectives to include "infrastructure works" as one of its activities. Accordingly, it was approved to amend Article 5 of the Articles of Association and Article 6 of its Bylaws after the approval of the competent authorities. 

Upcoming Assembly Meetings

OTC 677 Rasameel Investment Company will be having an extraordinary general assembly meeting and on the agenda includes a discussion on amending Article (14) of the company's Articles of Association to state the following:

• The company shall be governed by a Board of Directors consisting of eight members, including two independent members, with each member serving a term of three years, which may be renewed.
• Each shareholder, whether an individual or a corporate entity, may appoint representatives to the Board of Directors corresponding to the number of shares they own.

The upcoming general assembly of OTC 360 Al-Ritaj Investment Holding Company will address several key agenda items, including:

• The election of the Board of Directors for a three-year term by secret ballot.
• Approval of the consolidated financial statements and profit and loss account for the fiscal year ending December 31, 2023.
• Refer to the news on our website for more details about the

So far this year, 1.5 million shares have been traded in OTC 360 through 19 deals with a volume weighted average price of 13.1 fils per shares.

Stay updated with the outcomes of the assembly meetings and any further developments related to the trading, company news and profit distributions by referring to our newsletters and website. Almowazi provides ongoing updates about unlisted, delisted and OTC companies.

Liquidation updates

The liquidator of International United Holding Company (under liquidation) invited its shareholders to attend the Ordinary and Extraordinary General Assembly Meetings to discuss the items on their agenda, including discussing its financial statements for the year ending March 31, 2024, and discussing extending its liquidation period for two years. 

Trading Update

This week, trading activity increased by 162% compared to the previous week. A total of KD 1.121 million in unlisted shares from 44 companies changed hands. Additionally, 26.55 million shares were traded across 117 transactions. In contrast, last week, 21.2 million shares were traded, amounting to KD 428,740.

The week's trading was primarily driven by 12 deals in OTC 1017 ALQADISIYAH UNITED REAL ESTATE COMPANY , which saw 8.4 million shares being traded at a price of 100 fils per share.

For the second consecutive week, OTC 39 Aref Investment Company KSCC was the unlisted company with the highest number of deals. This week, there were 14 transactions involving Aref Investment's shares, down from 19 transactions the previous week. A total of 1.18 million shares were traded this week, with trading closing at 15 fils per share. Year-to-date, 28.65 million shares of Aref Investment have been traded across 148 transactions, with a volume-weighted average price of 6.9 fils per share for all trades conducted this year.

For historical trading data on all companies, consult the 'Deals Record' by company and the 'Deals on a date' sections on our website.

Almowazi, a source for historical trading data on unlisted, delisted and OTC companies, provides detailed information about deal dates, volume of shares traded, and transaction prices.

For a detailed analysis and to dive deeper into these trading highlights, please visit our website, where you can access real-time trading data as well as historical trading data for the market as well as by company.

Real time information about other Private deals (Negdeals) conducted through Kuwait Clearing Company (KCC) is only available on www.almowazi.com as part of the Live Market Watch subscription. Summary information is available on the home page under the tab "Off market Neg deals".

Click here for the updated list of 137 companies being traded as Hybrid deals - companies are sorted by OTC code. The latest joiners have been indicated in green while new hybrid companies since the beginning of the year are indicated in turquoise.

Prices as noted in this update refer to Real time information transmitted by Boursa Kuwait in accordance with the terms and conditions of Almowazi's License Agreement.

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