AICTEC shareholders to vote on capital hike via bonus issue on June 20

Logo of Advance International Company for Communication and Information Technology (AICTEC)

Advance International Company for Communication and Information Technology’s (AICTEC) shareholders will vote on increasing capital from SAR 25 million to SAR 32 million through a one-for-3.57 bonus issue, during the extraordinary general meeting (EGM) slated for June 20, according to a Tadawul statement.

The increase will be through transferring SAR 7 million from retained earnings to AICTEC’s capital. Consequently, the number of shares will surge from 2.5 million to 3.2 million.

The capital hike aims to boost the company's strategic growth plan, fund future expansions and strengthen solvency and financial position.

Eligible shareholders are those owning the shares on the date of the EGM and who are registered with the Securities Depository Center (Edaa) as of the close of the second trading day after the record date.

In the case of fractional shares, they will be compiled in one portfolio and will be sold at market price. Proceeds will be distributed to shareholders pro rata within 30 days.

AICTEC’s board recommended, on April 9, a capital top-up to SAR 32 million from SAR 25 million through a 28% bonus share distribution, according to Argaam's data.