Ali Al-Jaafari, Chairman of the Board of Directors of the Eastern Development Company, said that the company's failure to achieve revenues during the past five years is due to the suspension of projects since 2017, which led to a lack of liquidity and the company's faltering.

Al-Jaafari confirmed in an interview with Argaam that the company's success in increasing the capital will enable it to invest in food security, agricultural projects and other projects.

He added that the capital increase process is important for the company to start its operational operations, indicating that the company's main objective is to use the subscription proceeds to benefit from the land it owns on an area of 72 million square meters to implement its projects.

According to the data available on the numbers, the Eastern Development Company had set Tuesday, corresponding to April 11, 2023, as the date for the extraordinary general assembly meeting, to vote on the Board of Directors’ recommendation to increase the capital by offering priority rights shares at a value of 225 million riyals, and the assembly did not take place.