Draft Regulations of Stock Purchase Option for Employees

As part of the legislative processes taken by the Capital Markets Authority (CMA), the CMA is in the process of issuing regulations for the stock purchase option for employees, which is one of the mechanisms that enhance the efficiency of the financial market and enable the recruitment of professional competencies. It is applied in developed and emerging markets. The mechanism allows companies to grant their employees the right to subscribe to shares issued within a fixed time schedule, in accordance with clear and transparent terms that governs the relationship between the company and the employee, either by increasing the capital of the company or through treasury shares. The CMA invites you to view the draft regulations on the stock purchase option for employees to be included as an appendix to Module Eleven (Dealing in Securities) of the Executive Bylaws of Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities, and their amendments.

Filling out the survey form below allows you to provide your views and suggestions on the above mentioned regulations, no later than Thursday, June 14, 2018. We are ready to respond to your inquiries or comments on the phones listed below:

Mr. Bader Al Wegyyan 22903347

Mr. Ali Al-Sultan 22903192

Final draft of the stock purchase option for employees regulations