ShareKUWAIT: Boursa Kuwait Securities Company (KPSC) held its E-Annual General Assembly (AGM) meeting for the year ended Dec 31, 2021 on Thursday, March 24, 2022, which saw the Board of Directors' recommendation to distribute cash dividends of 65 fils per share approved, with a total value of KD 13,050,424. The cash dividends will be distributed to the company's registered shareholders by the end of day of the record date, which is scheduled to be 6 April 2022, and distributed among the shareholders by 10 April 2022, which is the scheduled payment date, as approved during a Board of Directors meeting following the AGM.
The Board of Directors' report, the Auditor's report and the consolidated audited financial statements for the fiscal year ended on December 31, 2021, were all approved, as were the Corporate Governance and Audit Committee reports and the Nominations and Remunerations Report for Board members and Executive Management. The AGM was chaired by Vice Chairman Bader Abdullah Al-Kandari, who read the reports issued by the Kuwait Clearing Company's electronic system regarding the quorum of attendance, the results of participation and voting included in the agenda, as well as a report of the shareholders' notes.
Boursa Kuwait Chief Executive Officer Mohammed Saud Al-OsaimiShareholders also agreed to grant the Board of Directors authorization to buy or sell the company's shares, provided they do not exceed 10 percent, in accordance with the provisions of Law No. 7 of 2010 and its executive regulations and amendments, as well as discussing and approving the Related Parties' Transaction Report for 2021 and the related parties' transactions. The reappointment of Badr Adel Salem Al-AbdulJader from Ernst & Young (Al-Aiban, Al-Osaimi & Partners) as the auditor for the fiscal year ending on Dec 31, 2022, was also approved.
During the meeting, shareholders elected the members of the Board of Directors for the upcoming three years, announcing the appointment of Hamad Mishari Al-Humaidi, Bader Abdullah Al-Kandari, Bader Nasser Al-Kharafi, Talal Jassim Al-Bahar, Khaled Waleed Al-Falah, Raed Jawad Bukhamseen, Faleh Abdullah Al-Rogobah, and Yousef Faisal Al-Mannai, while Bader Abdulmohsen Al-Jeaan, Jassem Hassan Zainal and Dalal Jaffar Behbehani were elected as alternates.
Moreover, during a Board of Directors meeting held after the AGM, Hamad Mishari Al-Humaidhi was appointed Chairman while Bader Abdullah Al-Kandari was voted Vice Chairman for the following three years. Boursa Kuwait Vice Chairman Bader Abdullah Al-Kandari commented on the results, stating: "Boursa Kuwait delivered an exceptional financial performance for this year, with an increase in operating profit by 26.3% over the previous year, from KD 12.6 million to KD 15.9 million. The company continued to implement its operational strategy to reinforce its efficient contribution to fulfilling the "New Kuwait 2035" vision, making great strides in its path to be a leading stock exchange in the Middle East, and a market ranked by the most prominent global indicators."
Al-Kandari also highlighted the company's phenomenal performance this year, and the Board of Directors' commitment to supporting the company's strategy, showcasing the series of achievements and milestones that contributed to the development of the company and the Kuwaiti capital market. "Boursa Kuwait continued to deliver on its promise to grow, elevating Kuwait's capital market apparatus through a commitment to its progressive strategy that keeps up with the best-in-class international standards and practices. The company also made great strides towards the sustainability of its operations as well as encouraging all market participants to adopt the best sustainable practices," Al-Kandari added.
Reaffirming its commitment to contributing to the "New Kuwait 2035" vision and the National Development Plan as well as the United Nations' Sustainable Development Goals (SDGs), Boursa Kuwait developed an ESG Reporting Guide that aims to support listed companies to report on Environmental, Social, and Governance (ESG) issues, and to meet the growing needs of various stakeholders, including investors, customers, suppliers, and regulators for transparent and regular information. This is in addition to launching guided programs and initiatives in the major fields relevant to Corporate Sustainability and collaborating with its shareholders in leading national and international organizations.
Al-Kandari also extended his sincerest gratitude to His Highness the Amir Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah and His Highness the Crown Prince Sheikh Mishal Al-Ahmad Al-Jaber Al-Sabah on behalf of Boursa Kuwait and its Board of Directors, for their continued support to the stability of Kuwait's economy and development. Al-Kandari concluded by thanking the shareholders for their continuous trust in Boursa Kuwait, and the Capital Markets Authority, Kuwait Clearing Company, and all participants in the Kuwaiti capital market for their efforts in promoting Kuwait's position as a leading regional market and the State of Kuwait as a prominent destination for international investment.
Boursa Kuwait's Vice Chairman also thanked his fellow Board members and Executive Management for their diligence and dedication in contributing to the realization of the company's strategy and goals, resulted in the notable improvement and progress of the Kuwaiti financial market by means of their wise counsel. He also thanked all company employees for their active contribution to these achievements. Mohammed Saud Al-Osaimi, Boursa Kuwait's Chief Executive Officer also commented on the company's results for 2021, saying, "Boursa Kuwait witnessed a marked increase in trading value and volume, with trading volume increasing by more than 57.9 percent from 53.6 billion to around 84.6 billion transactions, while traded value saw an increase of 26.6 percent, from around 10.7 billion Kuwaiti dinars to about KD 13.6 billion. The Kuwaiti capital market's market capitalization in 2021 was around KD 41.4 billion, an increase of around 28.4 percent from 2020."
Al-Osaimi drew attention to the company's key performance indicators, saying: "Boursa Kuwait's total assets stand at 110.4 million, a 6 percent increase from KD 104.2 million from 2020. Meanwhile, Boursa Kuwait's shareholder equity also increased by 14.8 percent, to KD 60.6 million from 52.8 million and the total operating revenue came in at 31 KD million, an increase of 39.7 percent compared to 2020's total of KD 22.2 million."
Al-Osaimi praised Boursa Kuwait's efforts to promote the Kuwaiti capital market globally, shedding light on the unique investment opportunities it offers. In 2021, the company held several virtual corporate days and roadshows, which attracted over 20 listed Kuwaiti companies, to provide insights and access to the international investment community through facilitated sessions and one-to-one meetings with institutional investors.
Al-Osaimi concluded his statement by thanking the Board of Directors for their unwavering support of the company's strategy and operations, as well as Executive Team members and every company employee, who have played significant roles to advance the development of the market. He also thanked the Capital Markets Authority, Kuwait Clearing Company, and brokerage firms whose expertise, knowledge and professionalism are reflected in every aspect of the successful development of Kuwait's capital market
Al-Osaimi reiterated the company's commitment to modernize the Kuwaiti capital market by expanding its offerings and improving market efficiency, enhancing access and reinforcing transparency and governance as well as increasing liquidity and transparency, while fortifying investor confidence as part of the company's efforts to enhance and modernize the market and increase its asset classes.
Since its inception, the company has strived to develop a strong financial market with high liquidity and credibility through the implementation of a range of structural and technical developments and initiatives that will enhance the position of the exchange, regionally and globally. Boursa Kuwait continues to implement many steps in accordance with international practices and standards to transform Kuwait into a regional and global investment destination, by focusing on creating an attractive issuer base and broadening its investor base, increasing the depth and breadth of its products, as well as upgrading its infrastructure and business environment to international standards.
