AI Summary
Logo of Saudi Industrial Development Co. (SIDC)
Saudi Industrial Development Co. (SIDC) announced setting the period of its rights issue trading and subscription to new shares.
The company said the period of its rights issue trading will commence on Nov. 12 and end on Nov. 19, 2025. Meanwhile, the subscription will start on Nov. 12 and run until Nov. 24, 2025.
A total of 16.5 million new shares will be offered at SAR 10 each, through a rights issue aimed at increasing the company’s capital by approximately 122.2%, bringing it to SAR 300 million, divided into 30 million shares.
According to the final prospectus, eligible shareholders have the right to exercise their rights electronically through the online platforms of their respective brokers.
Registered shareholders during the subscription period who are eligible to exercise their priority rights are entitled to subscribe to the new shares granted to them on the eligibility date, as well as any additional rights they have purchased after the completion of the rights purchase transaction (two business days) during the trading period. They also have the option not to take any action regarding the rights they hold.
New investors during the subscription period are entitled to exercise the rights they have purchased after the completion of the rights purchase transaction (two business days) during the trading period, by subscribing to the new shares. They also have the option not to take any action regarding the rights they hold.
If neither the registered shareholders nor the new investors exercise their rights to subscribe to the new shares during the subscription period, the shares related to those rights will be offered during the rump offering period.
According to data available on Argaam, the extraordinary general assembly of SIDC recently approved the board of directors’ recommendation to increase the company’s capital by SAR 165 million through a rights issue.
|
Capital Increase Details |
|
|
Current Capital |
SAR 135 mln |
|
No. of Shares |
13.5 mln |
|
Percentage of Increase |
122.22% |
|
New Capital |
SAR 300 mln |
|
New No. of Shares |
30 mln |
|
Reason for Increase |
Enable the company to implement its operational plans, support its working capital and enhance its financial position |
|
Increase Date |
Nov. 6, 2025 (Shareholders registered with Edaa at the end of the second trading day following the EGM) |
|
Rights Issue Details |
||
|
Offered Shares |
16.5 mln |
|
|
Offering Price |
SAR 10 |
|
|
Issue Size |
SAR 165 mln |
|
|
Eligibility Ratio |
Each eligible shareholder will have the right to subscribe to 1.222 shares per each owned share |
|
|
Issue Proceeds |
Financing working capital |
73.00 |
|
Launching the new identity stores “Sleep High” |
40.00 |
|
|
Repaying some credit facilities |
22.00 |
|
|
Automating production lines |
20.00 |
|
|
Implementing the enterprise resource planning (ERP) system |
4.00 |
|
|
Offering expenses |
6.00 |
|
|
Total |
165.00 |
|
|
Additional Information |
|
|
Financial Advisor, Lead Manager & Underwriter |
Alinma Capital |
Be the first to comment
Comments Analysis: