Shaker amends capital hike recommendation to SAR 249 mln though rights issue

Logo of Al Hassan Ghazi Ibrahim Shaker Co.

Al Hassan Ghazi Ibrahim Shaker Co.’s (Shaker) board of directors amended its capital hike recommendation to SAR 249 million from SAR 250 million through a rights issue, the company said in a statement on Tadawul.

The board’s decision stated that previous recommendations regarding capital reductions were kept unchanged by reducing SAR 482.33 million of the company's capital, representing 23.4% of the capital.

AlJazira Capital will remain the financial advisor of the capital cut and capital hike as appointed in September 2021.

The capital cut recommendation is subject to the approval of the relevant regulatory authorities and the extraordinary general assembly, the statement added.

Shaker also noted that it will announce submitting the capital cut and capital hike files to the Capital Market Authority (CMA) for approval.

In September, Shaker board of directors recommended a 25% capital cut from SAR 630 million to SAR 472.5 million through writing off 15.75 million shares (one share for every four shares), Argaam earlier reported.

Later in November, the company’s board of directors approved amending the previous recommendation on cutting and then increasing capital.