TADCO shareholders reject board liability discharge for past term

Shareholders of Tabuk Agricultural Development Co. voted against a proposal to discharge board members from liability for the period from Jan. 1 to Dec. 31 of the previous term. The rejection came at the company's annual general meeting, according to a statement from the Saudi Exchange operator.

The motion, which would have freed directors from legal responsibility for actions taken during the fiscal year, failed to secure the required majority. Companies typically put such proposals to a shareholder vote as a routine part of governance, and rejections are uncommon.

The outcome signals that at least some investors found issues with the board's oversight during the period. TADCO did not provide further details on the specific reasons behind the vote, and no other resolutions were disclosed alongside the result.

The meeting also covered standard agenda items, including approval of the auditor and financial statements. The board discharge rejection stands out as the only item that did not pass.

TADCO shares trade on the Saudi Stock Exchange. The company did not comment on the vote's impact on board composition or future governance practices.