Takween sets period for rights issue, new shares subscription

Logo of Takween Advanced Industries Co.

Takween Advanced Industries Co. determined the period of its rights issue trading and subscription to the new shares, according to a statement to Tadawul today, Feb. 15.

Both will start on Feb. 19. However, rights issue trading will end on Feb. 27, while the period for subscription to new shares will expire on March 3, the statement indicated.

Right-holders may exercise their subscription right, in whole or in part, to the new shares in proportion to the rights existing in their portfolios. For registered shareholders and new investors, rights trading and new shares subscription will be as per the prospectus.

Any unsubscribed shares and fractional shares will be offered to institutional investors, in accordance with the details set in the prospectus. Wasatah Capital will underwrite the new shares that remain unsubscribed after the rump offering.

The company also drew attention of investors not willing to subscribe to the importance of selling the rights issue they hold during the specified trading period to avoid the resulting decline in the value of their investment portfolios as a result of not benefiting from their rights, whether by way of sale or subscription.

According to data compiled by Argaam, Takween shareholders approved, on Feb. 13, the board’s recommendation to increase capital via a SAR 300 million rights issue.