View amends capital increase mechanism, maintains 100% hike

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According to a statement to Tadawul, the revised recommendation maintains the capital increase ratio at 100% (one bonus share for every share held) but adjusts the capital sources. The revised proposal includes capitalizing SAR 18 million from the share premium account and SAR 15 million from retained earnings.

View amended all affected items in the financial statements for previous periods. As part of this adjustment, an amount of SAR 880,400 was reclassified under retained earnings instead of additional paid-in capital.

This adjustment was reflected in the company’s preliminary financial results for the six-month period ended June 30, as disclosed on Tadawul on August 20.

The company noted that, as a result of this event, it will notify the Capital Market Authority (CMA) of this development and proceed to obtain all necessary regulatory approvals in accordance with applicable rules and regulations.

View will announce the date for the extraordinary general assembly meeting, during which shareholders will vote on the board’s revised capital increase recommendation, once regulatory approvals are secured.

Any material developments requiring disclosure will be announced in due course, the statement added.

In April, View’s board recommended increasing capital via a 100% bonus issue (one bonus share for every share held), capitalizing 880,400 from additional paid-in capital, SAR 18 million from the share premium account and SAR 14.1 million from retained earnings, Argaam data showed.