Plan approved to establish Institute of Traditional Arts in Saudi Arabia

The minister of culture announced last August that academies will be evaluated according to the market’s needs. (SPA)
Updated 23 October 2019

Plan approved to establish Institute of Traditional Arts in Saudi Arabia

  • The Institute of Traditional Arts aims to preserve the local identity through teaching arts, contributing to the preservation and development of the Saudi heritage, graduating qualified practitioners, and using arts to raise awareness

RIYADH: The minister of culture, Prince Badr bin Abdullah bin Farhan, on Tuesday, adopted a plan to establish the Institute of Traditional Arts at the Royal Academy of Arts.
The institute will begin receiving applications for the fall of 2020, targeting 1,000 students and trainees in long- and short-term programs.
The Institute of Traditional Arts aims to preserve the local identity through teaching arts, contributing to the preservation and development of the Saudi heritage, graduating qualified practitioners, and using arts to raise awareness.
The institute also aims to encourage artists through programs or partnership with relevant sectors.
The institute is part of the Academies of Arts’ initiative, which was announced in the Ministry of Culture’s first package last March, and the among the quality of life program’s initiatives. The minister of culture announced last August that academies will be evaluated according to the market’s needs, with the first being specialized in heritage and traditional arts and crafts.
 


Saudi Aramco to buy $1bn of IPO shares as incentive to executives and employees

Updated 11 November 2019

Saudi Aramco to buy $1bn of IPO shares as incentive to executives and employees

  • Aramco said it was also considering introducing an employee stock purchase plan once it becomes a public listed entity

DUBAI: Saudi Aramco will make available $1 billion of shares for employees under a plan to incentivize executives and other staff members alongside the initial public offering (IPO) due to take place next month.

The plan — which was disclosed in the IPO prospectus published late on Saturday night — will involve Aramco buying the shares from the government and making them available for employees under special terms.

Details are still being worked through, but the prospectus talked of a “celebratory grant plan,” implying that at least some of the shares would be given free to some of Aramco’s 73,000 employees.

Such share schemes are not uncommon in privatizations. 

 

Contributions

The Aramco plan is designed to “provide additional incentives to employees whose contributions are essential to the growth and success of the company, to attract and retain qualified individuals and to further align the interests of such employees with shareholders of the company,” the prospectus said.

The scheme will be in three parts: A long-term incentive plan for executives, a similar plan for management levels, and an incentive scheme for other eligible employees, in addition to the “celebratory grant.”

Aramco said it was also considering introducing an employee stock purchase plan once it becomes a public listed entity.

Publication of the offer prospectus is expected to stimulate interest among Saudi nationals, eligible expats and Gulf Cooperation Council (GCC) citizens for the IPO, expected to be the biggest share offering ever. Some 1 billion shares will be made available to private investors in the IPO, with as much as 2 percent being sold to global investors.

High net worth individuals interested in buying large chunks of shares may be included in the institutional offering if there is a lot of private investor demand.

The final proportion to be sold will be determined by the strength of global demand for the stock. There is also the possibility that the government could sell a big tranche of shares to a strategic foreign investor — like a big energy trade partner or a sovereign wealth fund.

The 658-page prospectus contains detailed financial and commercial information on Aramco and will be studied closely by investors interested in the shares.