The Saudi Exchange Company Announces an Enhanced Stock Split Process

The Saudi Exchange Company announces changes to its trading and membership procedures to enhance the trading process for shares resulting from stock splits implemented by companies listed on the Saudi Exchange. Ensuring that changes in share quantities and it’s prices are reflected in investors' portfolios immediately. The adjusted shares will be available for trading by the exchange members from the first trading session after the stock split decision is approved. 
This process enhancement will support investors in making faster, more informed investment decisions, ensuring that there is no misalignment in the share price and share quantity of a stock during a stock split. 
This improvement includes many benefits for investors, most notably:
•    Immediate reflection of the adjusted share quantity and price from the first trading session after the stock split decision is approved. This will be reflected in investors’ portfolios. 
•    Adjusted stocks will be tradeable from the first trading session after the stock split decision approval date.
•    More efficient portfolio tracking and management on the day of the stock split for investors. 
•    Alignment with global best practices. 
This enhancement is operational in nature and does not impact the procedure of stock splits or its requirements for listed companies. Issuers intending to split their stocks can continue to do so without any change to existing mechanisms.
This enhancement is part of the Saudi Exchange’s broader efforts to modernize market infrastructure in line with global best practices. 
For more information about the enhanced stock split process, please visit [link].