SARCO recommends capital hike via SAR 300M rights issue

Logo of Saudi Arabian Refineries Co. (SARCO)

Saudi Arabian Refineries Co.’s (SARCO) board recommended a capital increase of SAR 300 million through a rights issue, representing 66.66% of the company’s current capital.

The potential capital hike is intended to support the company’s investment projects, according to a statement to Tadawul.

Eligible shareholders are those of record on the date of the extraordinary general meeting (EGM) that approved the capital increase and those registered with the Securities Depository Center (Edaa) at the end of the second trading day following the EGM.

Alinma Capital Financial Company has been appointed as the financial advisor to oversee the rights issue and submission of the capital increase application file. It will announce when it submits the application file to the Capital Market Authority (CMA) at the time and any future developments that must be announced if available.

The board’s recommendation awaits the approval of the relevant regulatory authorities and shareholders at the EGM.