The Saudi Capital Market Authority has approved the Saudi Investment Bank’s request to increase its capital from 7.5 billion riyals to 10 billion riyals by granting free shares.
The authority stated in a press release, today, Sunday, that a free share will be assigned for every 3 existing shares held by shareholders registered in the issuer’s register of shareholders at the Depository Center at the end of the second trading day following the expiry date, the date of which the bank’s board of directors will determine in a second time.
The authority explained that the value of the capital increase will be paid by transferring an amount of 2.5 billion riyals from the “legal reserve”, and therefore the number of shares will increase from 750 million to one billion shares, with a increase of 250 million shares.
And the authority added: “The date of the extraordinary general meeting must not exceed 6 months from the date of this approval and that the bank carries out the relevant legal procedures and requirements.”
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