Wafa Insurance uses rights issue proceeds to boost solvency margin

Saudi Indian Co. for Cooperative Insurance (Wafa Insurance) has used SAR 90.6 million out of the SAR 105 million in total proceeds generated from a recent rights issue to boost its solvency margin, the insurer said in a statement to Tadawul.

The company deposited SAR 70.6 million of the used proceeds into a local bank account, while SAR 20 million was said to have been invested into funds.

Costs associated with the offering reached SAR 3.9 million and 10.5 million went towards a recurring deposit.

Wafa held the rights issue in April in order to raise its capital to SAR 205 million from SAR 100 million.