Munawla shareholders OK 50% capital hike via bonus shares

Logo of Munawla Cargo Co.

Shareholders of Munawla Cargo Co. approved a 50% capital increase through the issuance of bonus shares during the extraordinary general meeting (EGM) held on Nov. 5.

The increase will be financed by capitalizing SAR 10 million from retained earnings, by granting one bonus share for every two shares held.

In a statement to Tadawul, the company said fractional shares, if any, will be collected in a single portfolio to be sold at market price. The proceeds will then be distributed among eligible shareholders pro rata within 30 days maximum from the date of determining each shareholder’s eligible shares.

Shareholders also approved an amendment to the policies and standards governing the remuneration of the board of directors, its subcommittees, and the executive management.

Tadawul announced that the price fluctuation limits for the company’s shares have been set based on a price of SAR 31.04 for today, Nov. 6, and all existing orders have been canceled.

The Securities Depository Center Co. (Edaa) will add the bonus shares to shareholders’ portfolios before the start of trading on Nov. 10.