The Saudi Capital Market Authority has announced the issue of its decision approving the Arab Cooperative Insurance Company’s request to increase its capital through a rights issue of 265 million riyals.
The Authority added in a press release, today, Sunday, that the eligibility for shareholders registered in the issuer’s shareholders’ register at the Deposit Center at the end of the second trading day following the date of the Extraordinary General Meeting, which resolved to increase capital through an issue of rights, the date of which will subsequently be determined by the company’s board of directors.
The Authority continued: “The offer price and the number of shares offered in subscription will be determined by the company after the close of trading on the day of the Extraordinary Shareholders’ Meeting. And after examining the Authority’s request in light of the regulatory requirements and the standard quantitative and qualitative applicable to all companies that ask to increase their capital. “
The Authority issued its decision approving the request of the Arab Cooperative Insurance Company, and the prospectus relating to the issue of rights will be published and made available to the public in a second time.
He said the investment decision is based on the announcement of news of the company’s capital increase, whether the announcement is a recommendation from the company’s board of directors or in the form of approval by the Prospectus Authority for the he capital increase by offering preference shares, without reviewing the prospectus and studying its content, can involve high risks.
The Authority advises the investor to examine the prospectus, which contains detailed information on the company, the offer and the risk factors, and to study it carefully to assess the feasibility of investing in the offer in light of the associated risks. prospectus can not be understood, it is preferable to consult an authorized financial advisor for him.
He stated that the Authority’s approval of the prospectus should not be seen as an endorsement of the feasibility of investing in the offering or shares of the company concerned, as the Authority’s decision to approve the prospectus means that the legal requirements are been complied with in accordance with the Capital Market Act and its implementing regulations.
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