SAICO reveals final prospectus for SAR 150 mln rights issue

Saudi Arabian Cooperative Insurance Co. (SAICO) has issued a final prospectus for its SAR 150 million rights issue, with the first phase set to launch on June 9.

The insurer plans to offer 15 million shares at SAR 10 per share as it aims to raise its capital from SAR 100 million to SAR 250 million, divided into 25 million shares. The move will mark a capital increase of 150 percent.

Only investors registered on the date of the extraordinary general meeting will be eligible for subscription.

The first round of the rights issue will be held June 9 until June 18, followed by the second phase which will take place June 12 to June 23.

The insurer plans to use SAR 6 million from the total proceeds to cover the rights issue costs, which should also enhance its solvency margin.
 

Last November, Argaam reported that the Capital Market Authority (CMA) had approved SAICO’s request to raise its capital through rights issue.