FAQ
| Exempted transfers are divided to two main categories: | ||
| • | Transactions excluded from trading through the market which include the following: | |
| 1. | Inheritance transfers. | |
| 2. | Family transfers that occur between ascendants and descendants and between siblings or between half-siblings and between spouses. | |
| 3. | Transfer for the Purpose of Dividing the Joint Ownership of Securities | |
| 4. | Donating securities to religious, charitable or social associations registered at the competent authorities. | |
| 5. | Waqf of securities whether charitable or descendentiary. | |
| 6. | Securities contained in wills | |
| 7. | Transfers that occur in accordance with the Law of the Government's Acquisition of Monies that Reach Limitation. | |
| First case: Transfer from the owner of securities that reach limitation to the Ministry of Finance. | ||
| Second case: Second case: Transfer from the Ministry of Finance to the owner of securities that reach limitation. | ||
| 8. | Transfers in accordance with decisions of courts and execution departments. | |
| 9. | Transfers in accordance with the JSC's decisions. | |
| 10. | Transfers that occur between the Founders of an Issuer in accordance with the relevant Laws and/or authorities decisions during the period of lock-up of the founding shares. | |
| • | Transfer of Ownership of Non-Traded Securities | |
Yes, the ownership will be transferred directly (Spot basis).
The SDC allows transfers between the transferor (the person who initiates the transfer) and transferee (the person who receives the transferred securities), who are immediate family members (Ascendants and descendants and between siblings or between half-siblings and between spouses).
Documents that prove the relation between the transferor and the transferee must be attached. Additionally, it is not allowed in any case, to transfer the securities owned by the minors.
The ownership of founding shares is transferred in any of the following cases:
- Inheritance transfer.
- Family transfers that occur between ascendants and descendants and between siblings or between half-siblings and between spouses. It is not allowed in any case, to transfer the securities owned by the minors.
- Transfers between founders during the restriction period on those shares.
- Transferring the ownership of a founding share to others under an irrevocable judicial decision.
After submitting the corresponding application and the necessary documents to the SDC, the SDC executes the transaction according to applied procedures, the transferor's account will be debited and the transferee's account will be credited immediately.
No, the presence of all inheritor is not required. The attendance of one inheritor or his legal agent is sufficient to complete the transfer. provided that all the needed requirements are met.
Shares are distributed to the inheritors in accordance with the inheritance shares specified in the inheritance deed where each inheritor obtains his percentage.
Fractions due to distribution of shares and/or the securities trading unit shall be rectified through assigning the fractions to one or more of the inheritors.
All joint owners should approve to conduct the division through duly signing the transfer forms in front of authorized SDC employee or the presence of their legal representative that is authorized to divide the joint ownership by virtue of a power of attorney that expressly states the agent's authorization to divide the joint ownership and assign the securities necessary to rectify the number of shares between the joint owners. If anyone of joint owners were deceased, the division is conducted by the presence of all inheritors or their legal representative that is authorized to divide the joint ownership, in case there are minors among inheritors, their guardian should provide the SDC with the proper permission by the competent courts to divide the joint ownership.
