AI Summary
Logo of Taiba Investments Co.
The Capital Market Authority (CMA) approved Taiba Investments Co.’s request to increase capital by 92%, from SAR 2.6 million to SAR 5 million, through a 1-for-1.09 bonus share issue.
Subscription eligibility will be limited to shareholders registered with the Security Depository Center (Edaa) as of the closing of the second trading day after the deciding extraordinary general meeting (EGM), the date for which is yet to be set by the company’s board of directors, according to a statement today, April 8.
The CMA said the planned capital hike will be paid by capitalizing SAR 1 billion from the statutory reserve and SAR 1.39 billion from the share premium balance. Consequently, the company's outstanding shares will rise from 260.5 million to 500 million.
The EGM shall be held within six months from this approval date, and the company shall satisfy all regulatory requirements and applicable laws, the statement added.
According to Argaam’s data, Taiba’s board of directors, on March 1, recommended a 91.97% capital increase (granting 0.9197 share for each share owned) to SAR 5 billion from SAR 2.6 billion by capitalizing SAR 2.39 billion from the statutory reserve and share premium balance.
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Capital Increase Details |
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Current Capital |
SAR 2.6 bln |
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Number of Shares |
260.46 mln |
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New Capital |
SAR 5 bln |
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New Number of Shares |
500 mln |
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Percentage Increase |
91.97% |
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Reason |
To strengthen the company’s capital structure, support its growth and expansion requirements in line with its strategic direction, and reinforce the strength and solidity of its financial position. |
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Share Offerings |
0.9197 share for each share held |
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Method |
Capitalizing SAR 2.39 billion from the statutory reserve and share premium balance, as follows:
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Record Date |
Shareholders of record who are registered with Edaa by the end of the second trading day following the record date |
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