ACWA Power shareholders to vote on SAR 7.12B rights issue on June 30

Logo of ACWA Power Co.

Shareholders of ACWA Power Co. will vote on the board’s recommendation on increasing the company’s capital by way of SAR 7.12 billion rights issue during the extraordinary general meeting (EGM) scheduled for June 30.

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In a statement on Tadawul, the utility announced that it will disclose the proposed details on the number of new shares, offering price, and the capital increase amount after the market closes on the EGM date, or ahead of the meeting. These details will be presented to shareholders during the meeting for approval.

Subscription to the rights issue shares will take place in accordance with the subscription instructions outlined in the prospectus published by the company.

ACWA Power clarified that the reason behind the capital increase is to support the company’s growth strategy, which aims to triple its assets under management by 2030 and to strengthen its financial position.

If the capital increase is approved, the eligibility will be for shareholders who own shares on the EGM date and who are registered in the company’s shareholders registry at the Securities Depository Center (Edaa) by the close of the second trading day following the EGM date.

According to Argaam data, ACWA Power’s board of directors recommended in June 2024 to increase the company’s capital by SAR 7.12 billion through a rights offering.

The Capital Market Authority (CMA) recently approved ACWA Power’s application to increase its capital.