Al Rajhi Takaful shareholders approve capital hike to SAR1B via bonus issue

Logo of Al Rajhi Company for Cooperative Insurance (Al Rajhi Takaful) 

Al-Rajhi Company for Cooperative Insurance’s (Al Rajhi Takaful) shareholders greenlit a 150% capital increase to SAR 1 billion, through capitalizing SAR 600 million from retained earnings and distributing 1.5 bonus shares for every share held.

The approval was made during the extraordinary general meeting (EGM) held on Dec. 3, according to a Tadawul statement.

Fractional shares, if any, will be collected into a single portfolio to be sold at market price within 30 days, on a pro-rata basis from the date of determining the allocation of new shares for each shareholder.

In a separate statement, the Saudi Exchange (Tadawul) announced that the fluctuation limits for Al Rajhi Takaful today will be based on a share price of SAR 64.80. Accordingly, the outstanding orders will be canceled.

Furthermore, the Securities Depository Center (Edaa) will deposit the bonus shares into investors’ portfolios by Dec. 6.