Petro Rabigh to appoint adviser for SAR 9 bln capital hike

Rabigh Refining and Petrochemicals Co. (Petro Rabigh) said in a statement to Tadawul that it’s committed to hire a financial adviser at the appropriate time for its capital increase through a rights issue.

In April 2015, the company’s board of directors recommended a proposal to increase its capital by SAR 7.04 billion. Later in May, the capital increase was upgraded to SAR 9.26 billion.

The capital raise will go toward paying costs of its Phase II expansion project, which was transferred from founding shareholders, Saudi Aramco and Sumitomo Chemical, to the company on March 17, 2016. 

Petro Rabigh is a joint venture between Saudi Aramco and Japan's Sumitomo Chemical (37.5 percent ownership each) and has a current capital of SAR 8.76 billion.