Bank Aljazira’s planned dividend to cover existing, new shares: CEO

Bank Aljazira’s planned cash dividend at SAR 0.32 per share – if approved by the general assembly meeting - will cover existing and new shares, Nabil Al Hoshan, the bank’s Chief Executive and Managing Director, told Argaam.

This move comes as part of the bank’s effort to enhance shareholders’ equity and increase their returns through adding new shares to their portfolios.

Earlier this week, Aljazira started a rights issue to raise its capital to SAR 8.2 billion from SAR 5.2 billion. The trading period will end on Sunday, April 1, while subscription will continue until Wednesday, April 4.

The lender aims to use the issue proceeds in financing expansions, enhancing its performance, and strategy, which aims to expand outreach to new sectors and bolster the bank’s capital base, Al-Hoshan added.

Aljazira is bracing for a new stage, after a successful restructuring with a focus on strengths, particularly in the retail and corporate banking along with treasury services.