Mezzan Holding Holds 20th Annual General Meeting

Shareholders approved the Board of Directors' recommendation to distribute cash dividends of 18 fils per share and to distribute treasury shares at a rate of 2% (two shares for every 100 shares held by investors)

  
Mezzan Holding Holds 20th Annual General Meeting

Kuwait — Mezzan Holding KSCP, one of the largest manufacturers and distributors of food, beverage, FMCG, and healthcare products in the region, held its 20th Annual General Meeting (AGM) of Shareholders today in Kuwait. The shareholders approved the Board of Directors’ recommendation to distribute cash dividends of 18% of the nominal value of the share (18 fils per share) representing 50% of the profit, and distribution of treasury shares at a rate of 2% (two shares for every 100 shares held by investors).

Shareholders also approved the board’s 2020 remuneration, a total amount of KD100,000, and agreed to not transfer the compulsory reserve and the voluntary reserve, given that they exceed half of the company’s issued capital. The meeting also authorized the buying, selling, or disposing of the company's shares that do not exceed 10% of the number of shares by the Board of Directors. This is in accordance with the controls and conditions stipulated by the law, regulations, decisions, and instructions of the supervisory authorities, provided that this authorization continues for a period of eighteen months from the date of its issuance.

Mezzan Holding Executive Vice Chairman Mohammad Jassim Al Wazzan said: “Last year was a challenging year for regional and international markets, where uncertainty and difficulties continued to prevail. Despite this, Mezzan has succeeded in facing these fluctuations due to our diversifying strategy and business model. Our 2020 results demonstrated the flexibility and endurance of our business model and the group's ability to adapt quickly to the fluctuations caused by the COVID-19 pandemic without losing sight of our strategic priorities and our commitment to the company's shareholders and customers.”

He added “Since the diversification of our business’s income and strengthening its leadership position at the local and regional levels, Mezzan has continued to invest in its production, storage, and distribution capabilities to reinforce its regional position. This further reinforced our diversified revenue streams, raised productivity and operational efficiency, as well as investing in developing the brands owned by the company. Looking forward, our primary objective is investing in key production lines in different markets to further diversify our revenue streams and deliver more to our customers and shareholders.”

FY 2019 Financial Performance Review:

Mezzan Holding crossed several milestones in 2020, specifically the enhancement of operating performance motivated by its diverse product portfolio and the inorganic growth through previous acquisitions and opportunities resulting from the COVID-19 pandemic. The company witnessed high growth in consumer-driven business units. The company recorded KD10.9 million in Net Profit to Parent Company Shareholders which grew by 93.9% compared to 2019 which amounted to an amount of KWD5.6, million as a result of higher margins, increased scale of operations, as well as lower borrowing costs.

FY 2020 Financial Highlights:

  • Revenue: KD246.4 million, up 10.8%
  • Operating Profit: KD17.1 million, up 35.3%
  • EBITDA: KD25.4 million, up 36.9%
  • Net Profit to Parent Company Shareholders: KD10.9 million, up 93.9%
  • Total Assets: KD252.9 million
  • Shareholders’ Equity to Owners of Parent Company KD109.4 million

 -Ends-

About Mezzan Holding:

  • Operates in seven countries through 29 subsidiaries with more than 9,000 employees
  • Distributes over 25,000 Stock Keeping Units (SKU), making it one of the largest operators in terms of SKUs, unit sales, market share and in terms of share of revenues of total consumer spending in consumer categories served by the company
  • Active in various segments of the consumer staple industry supported by long-standing relationships with Johnson & Johnson, Olayan Kimberly-Clark, Reckitt Benckiser, General Mills, Arla Foods, Sara Lee and many other leading brands and manufacturers
  • Serves over 100,000 meals a day in Kuwait, Qatar and the UAE through its catering business
  • Has a total of 130,000 square meters in food, beverage and FMCG manufacturing facilities in Kuwait, Qatar, UAE and Afghanistan
  • Leverages long-standing relationships with private and cooperative supermarkets
  • Vertically integrated into complementary business operations, including packaging, catering, contract services and logistics
  • Food services customers include multinational fast-food chains, airline catering services and large food services companies.

Mezzan Holding is a 70-year old company that was listed on the Kuwait Stock Exchange in the second quarter of 2015. The company headquartered in Kuwait with direct operational activities in Kuwait, UAE, Qatar, Saudi Arabia, Iraq, Jordan, and Afghanistan.

For more information, please contact:
Fawaz Al-Sirri |fawaz@bensirri.com 

Send us your press releases to pressrelease.zawya@refinitiv.com

© Press Release 2021

Disclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.

The press release is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Neither this website nor our affiliates shall be liable for any errors or inaccuracies in the content, or for any actions taken by you in reliance thereon. You expressly agree that your use of the information within this article is at your sole risk.

To the fullest extent permitted by applicable law, this website, its parent company, its subsidiaries, its affiliates and the respective shareholders, directors, officers, employees, agents, advertisers, content providers and licensors will not be liable (jointly or severally) to you for any direct, indirect, consequential, special, incidental, punitive or exemplary damages, including without limitation, lost profits, lost savings and lost revenues, whether in negligence, tort, contract or any other theory of liability, even if the parties have been advised of the possibility or could have foreseen any such damages.

More From Press Releases