Riyadh - Mubasher: Lumi Rental Company has announced the successful conclusion of its Extraordinary General Meeting (EGM), where shareholders approved the transfer of over SAR 55 million from statutory reserves to retained earnings.
The meeting, held on 21 June 2026, via the Tadawulaty platform, saw a high level of shareholder engagement with a 72.42% attendance rate.
In addition to the reserve reclassification, the assembly ratified the company’s 2025 financial statements, approved director remunerations, and authorized several significant related party contracts involving major financial institutions and industrial groups.
The assembly, chaired by Mohammed Saleh Alkhalil, convened with all board members and subcommittee chairmen in attendance. A primary focus of the meeting was the restructuring of the company’s equity components.
Shareholders voted in favor of transferring the general reserve balance of SAR 29.47 million and an additional reserve balance of SAR 26.09 million into the company’s retained earnings account. This move, based on the financial statements for the year ended 31 December 2025, provides the company with greater flexibility regarding its distributable profits.
Governance and auditing remained central to the agenda. The assembly approved the appointment of Ernst & Young Professional Services as the company’s external auditor.
The firm is tasked with reviewing and auditing the financial statements for the second, third, and annual periods of 2026, as well as the first quarter of 2027. The audit fees were set at SAR 850,000.
Furthermore, shareholders approved a total remuneration of SAR 3.07 million for the Board of Directors for their services during the 2025 fiscal year and discharged them from liability for the same period.
The meeting also addressed a wide array of related party transactions conducted during 2025, ensuring transparency regarding shared board memberships.
Significant among these were dealings with the Saudi Investment Bank, where Chairman Mohammed Saleh Alkhalil holds a dual role. These transactions included banking facilities and financing arrangements totaling SAR 198.83 million , along with interest expenses and payments exceeding SAR 40 million.
Other approved contracts involved National Petrochemical Industrial Company (NATPET), Seera Holding Group, Al Mosafer Travel and Tourism, and Arabian Agricultural Services Company (ARASCO).
These transactions primarily focused on vehicle rental revenue, administrative facility fees, and travel services. Notable figures included SAR 5 million in rental revenue from Al Mosafer and SAR 7.76 million in purchases for hotel and flight bookings.
In a move to modernize the company’s corporate framework, the assembly approved an amendment to the Bylaws. This included the addition of a new article titled "Participation and Ownership in Companies," which outlines the company’s capacity to hold interests in other entities.
Finally, the board was granted a one-year authorization to exercise the powers of the Ordinary General Assembly regarding licensing requirements under the Companies Law, ensuring operational continuity for the coming cycle.
