Takween starts rights trading, subscription to new shares today

19/02/2024 ِArgaam special
Logo ofTakween Advanced Industries Co.

Logo of Takween Advanced Industries Co.


Takween Advanced Industries Co. starts today, Feb. 19, subscription to new shares and rights trading to increase its capital by SAR 300 million from SAR 464.65 million to SAR 764.65 million.

 

Rights trading will end on Feb. 27, while subscription to the new shares will close on March 3.

 

The company will offer 30 million shares at SAR 10 each, to increase capital by 64.75%, at 0.6456 right for every share owned.

 

The proceeds will go for the purchase of new assets to develop the current production lines, purchase of new assets to manufacture new products, repay loans and finance working capital.

 

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

 

Capital Increase Details

Current Capital

SAR 464.65 mln

No. of Shares

46.46 mln

New Capital

SAR 764.65 mln

New No. of Shares

76.46 mln

Percentage of Increase

64.75%

 

Rights Issue Details

Offered shares

30 mln

Offer Price

SAR 10/share

Issue Size

SAR 300 mln

Eligibility Ratio

0.6456 right for every share owned

Record Date

Feb. 13, 2024 (Including shareholders registered with Edaa by the end of second trading following the EGM)

Purpose

Purchase assets to develop current production lines, purchase assets to manufacture new products, repay loans and finance working capital

Rights Issue Proceeds

Purchase of new assets to develop existing production lines

90

Purchase of new assets to produce new products

60

Repayment of loans

75

Financing working capital

49.8

Offering costs

25.2

Total

300

 

Additional Information

Financial Advisor and Underwriter

Wasatah Capital

Lead Manager

Al-Nefaie Investment

 

Rightholders 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.

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