Amiantit says rights issue 88.53% subscribed

Saudi Arabian Amiantit Co. announced the results of rights issue trading, noting that more than 10.6 million shares were subscribed, valued at SAR 106.23 million, from the offer of 12 million new shares.

The remaining shares will be offered to institutional investors, provided they submit purchase offers for the rump shares, which will be allocated by giving priority to the highest bid, the firm said in a statement to Tadawul.

Shares will be allocated on a proportional basis among those institutional investors that have tendered offers at the same price.

In the event shares remain unpurchased by institutional investors, then they will be allocated to the underwriter who will purchase them at the offering price, the statement added.

The rump offering for unsubscribed shares, amounting to 1.38 million shares, will start on Tuesday, Dec. 22, 2020, and will continue until on Wednesday, Dec. 23, 2020.

Amiantit’s subscription period for the rights issue ended on Dec. 17, 2020, according to data available with Argaam.

The subscription period began on Dec. 7, 2020, by offering 12 million shares of priority rights at a price of SAR 10 per share, with a total value of SAR 120 million, in order to increase the company's capital from SAR 200 million to SAR 320 million.