SAMA rejects Sanad Insurance request to increase capital by SAR 100 million

Sanad Cooperative Insurance and Reinsurance Company said that the Saudi Arabian Monetary Agency’s (SAMA) rejected its request to raise capital by SAR 100m through a rights issue.

SANAD indicated that the reason for SAMA’S decision is the company’s failure to meet necessary requirements and that the company may reapply for the capital raise when those requirements are met.

According to Argaam’s data; SAMA has lately granted its preliminary and final capital raise approvals to 7 insurance companies after meeting necessary requirements. SAMA also has rejected 3 companies’ requests for a capital raise for not meeting the requirements with the option to reapply when requirements are fulfilled.