CMA approves SASCO's capital hike to SAR 700M via bonus issue

Logo of Saudi Automotive Services Co. (SASCO)

The Capital Market Authority (CMA) approved the application from Saudi Automotive Services Co. (SASCO) to increase its capital from SAR 600 million to SAR 700 million via a bonus issue, the market regulator said in a statement today, May 2.

Accordingly, one bonus share will be issued for every six 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 SASCO's board.

The capital top-up will be funded by transferring SAR 83.14 million from the statutory reserve and SAR 16.86 million from retained earnings. Thus, the number of the company's shares will increase by 10 million to 70 million.

The CMA added that SASCO's extraordinary general meeting (EGM) should be held within six months from this approval date, provided that the company satisfies all regulatory requirements and requisite procedures.