Logo of Saudi Paper manufacturing Co.
The Capital Market Authority (CMA) approved the application from Saudi Paper Manufacturing Co. to increase its capital from SAR 337 million to SAR 370.7 million, the market regulator said in a statement today, Feb. 7.
The capital hike will be through the issuance of one bonus share for every 10 shares held by shareholders registered with the Securities Depository Center (Edaa) by the close of the second trading day after the record date, to be determined later by Saudi Paper’s board.
The capital top-up will be funded by transferring SAR 33.7 million from the company’s retained earnings. Thus, the company’s shares will increase by 3.37 million from 33.7 million to 37.07 million.
The CMA added that the company’s extraordinary general meeting (EGM) should be held within six months from this approval date, provided that Saudi Paper satisfies all regulatory requirements and applicable laws.