Walaa invests SAR 210 mln of its rights issue proceeds into near money, cash assets

Saudi United Cooperative Insurance Co. (Walaa) has invested SAR 210 million out of the SAR 240 million in total proceeds generated from a recent rights issue into near money and cash assets, the company said in a statement to Tadawul.

The investment was double the amount previously stated in the prospectus (SAR 105 million). The insurer is planning to put SAR 73.5 million of the additional funds into bonds and fixed-income investments, while SAR 31.5 million will be invested in Tadawul-listed companies.

A total of SAR 20 million was added to the statutory reserve in line with capital increase requirements. 

Direct and indirect expenses related to the offering amounted to SAR 9.89 million, while total net proceeds reached SAR 230.1 million, the insurer added.