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- 7% Dividends in cash and bouns shares rewarded on the back of solid financial performance
- Shareholders elected the Board of Directors, including the company’s first female board member, Ms. Moza Mohammed Majid Salem Al Zaabi.
RAK Properties PJSC (ADX: RAKPROP), Ras Al Khaimah’s pioneering publicly listed property developer, has successfully concluded its Annual General Meeting (AGM) held on 20 March 2024. With a strong shareholder turnout, all proposed resolutions were supported, signalling confidence in the company's strategic direction and governance, following what has been a remarkable year.
Notably, shareholders have approved a significant capital increase with the issuance of 920 million new shares, each with a nominal value of one dirham, effectively upping the company's capital by AED 920 million. This move welcomes the Government of Ras Al Khaimah as a strategic shareholder, thereby increasing its stake in the company from 5% to approximately 34% post-issuance, pending approval from Securities and Commodities Authority.
Sameh Muhtadi, CEO of RAK Properties, remarked, “The decision to increase our capital and enhance the Government of Ras Al Khaimah's stake in RAK Properties is a strong testament to the confidence placed in our vision and long-term growth plan. This strategic move not only fortifies our balance sheet but aligns us even closer with the Emirate's developmental goals.
“With the government's support, we have an agreement on in-kind contribution of land at reduced prices; thus, enhancing access to prime real estate, paving the way for diversifying our landbank, essential for our expansion and fuelling future developments. This ensures a sustainable pipeline of projects that will contribute to meeting the growing needs of the community and the market in Ras Al Khaimah.”
The AGM also saw several other important items passed, including the approval to distribute cash dividends of 3% of the capital, amounting to AED 60,000,000 at 3 fils per share. Additionally, the shareholders will benefit from bonus shares of 4% of the company's capital, amounting to AED 80,000,000. Furthermore, shareholders elected the Board of Directors, including the company’s first female board member, Ms. Moza Mohammed Majid Salem Al Zaabi.
Welcoming the successful outcomes of the AGM, Mr Muhtadi said, “Our remarkable financial results in 2023, where we realised AED 2.8 billion in sales and a significant uptick in net profits, has allowed us to reward shareholders with a dividend. The confidence placed by the shareholders in RAK Properties is greatly valued, we’re committed to ensuring that this trust is met with continued financial growth and success.
“Going forward, our continued success will be backed by the strategic oversight of our newly elected board, who bring together a wealth of expertise. I welcome their collective experience which will be instrumental in guiding the company through the evolving landscape of the real estate sector in the Ras Al Khaimah.”
The full agenda and names of the Board of Directors can be found on the RAK Properties website.
About RAK Properties
Founded in 2005 under the visionary leadership of His Highness Sheikh Saud Bin Saqr Al Qasimi, Ruler of Ras Al Khaimah, RAK Properties is a leading real estate developer committed to producing exceptional and sustainable destinations. Specializing in contemporary and meticulously crafted communities, RAK Properties integrates excellence, innovation, and nature to create enriching lifestyles in alignment with the aspirations of tomorrow’s people.
RAK Properties plays a pivotal role in achieving RAK Vision 2030, focusing on delivering economic, social, and environmental value, all aimed at enhancing lives and places, and contributing to the prosperous narrative of Ras Al Khaimah.
Awards and recognitions:
- Awarded ‘Developer of the Year’ 2023 by Construction Week Middle East.
- Bayviews Residences won the ‘Best Residential Project’ at the Design Middle East Awards 2023, where the residential development was recognized as the region's best design and architecture.
- Quattro Del Mar was awarded the Best Mixed-Used Project at the Pillars of Real Estate Awards 2024.