‎MEPCO files lawsuit against MEWA, NWC over SAR 77.3M claim for expropriated land

‎<p><img src="https://argaamplus.s3.amazonaws.com/928d74a3-2c22-41bc-a622-4f38dc2a11ce.png"></p> <p class="ckeCaption" >Logo of Middle East Paper Co. (MEPCO)</p> <hr> <p ><a href="https://www.argaam.com/en/tadawul/tasi/mepco" target="_blank">MEPCO</a><span > filed a lawsuit before the Administrative Court in Jeddah against both the Ministry of Environment, Water and Agriculture (MEWA) and National Water Co. (NWC), demanding a fair compensation of SAR 77.26 million as an equivalent rent for the entire expropriation period for the company’s land, based on updated valuations conducted by three accredited real estate valuers.</span></p> <p></p> <p >This lawsuit is an extension of previous claims for which the company obtained a final judicial ruling from the Administrative Court of Appeal, nullifying the assessment committee's minutes, which had previously determined the compensation value to the company at SAR 2.6 million, the company said in a statement to <strong>Tadawul</strong>.</p> <p ></p> <p >In execution of these rulings, the assessment committee was reformed and issued its latest decision on May 19, 2026, estimating the rent at SAR 8.01 million. The company has not received this amount, it added.</p> <p ></p> <p >MEPCO stated that, as it filed a grievance with NWC against the committee's latest decision, and over 60 days have passed without a resolution to the grievance, it decided to file the aforementioned lawsuit.</p> <p ></p> <p >The financial impact cannot be determined at this stage and will depend on the final outcome of the lawsuit and the receipt of any amount ultimately awarded to the company, according to the statement.</p> <p ></p> <p >MEPCO further stated that it does not currently expect the filing of the lawsuit itself to result in any material adverse legal, regulatory, or operational impact. However, the outcome of the lawsuit cannot be determined at this stage.</p> <p ></p> <p >The company also said it has completed the statutory procedures for the administrative grievance and appointed a lawyer to plead before the competent court to safeguard the rights of the company and its shareholders.</p> <p ></p> <p >Any material developments will be announced in due course, it noted.</p>

Publication

Argaam - Company Disclosures · Stock Exchange/Regulatory Announcements

Published

7th October 2026

Original report

argaam.com

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