Commercial Companies Law

Article 226 — Article (226) Conditions of Strategic Partner's Contribution

Part Four: Public Joint Stock Companies · Chapter Five: Shares, Bonds and Sukuk

1. Within three months of the date of the resolution to include a strategic partner as a shareholder of the company, the company's board of directors shall offer the shares to the strategic partner, subject to any conditions or controls set forth by the SCA in this regard. 2. If the board of directors fails to offer the new shares to the strategic partner within the three-month period as set forth in Clause [1] of this Article or if the strategic partner fails to subscribe to such shares within a period not exceeding thirty [30] days of the date such shares were offered to the partner, the resolution by the General Assembly to increase the capital of the company to enter a strategic partner shall be deemed void ab initio.

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