Saudi regulator proposes giving shareholders more say over loss-making firms and boards
- Shareholders holding at least 5% of voting shares can request in-person general assemblies, which the board must comply with unless the CMA orders otherwise.
- Companies with significant losses are required to develop recovery plans, disclose them on Tadawul, and provide regular progress reports until losses decrease below 20%.
- The proposal includes stricter scrutiny of related-party transactions and mandates that audit committees review these deals for fairness and transparency.
