Bawan gets regulatory approval for SAR 100 mln capital raise

Saudi Arabia’s market regulator, the Capital Market Authority (CMA), approved on Thursday Bawan Co.’s request to raise its capital from SAR 500 million to SAR 600 million.

The company will issue one bonus share for every five existing shares owned by shareholders who are registered by the date of the extraordinary general assembly meeting, which should be held within six months, the CMA said in a statement to Tadawul.

The company will transfer SAR 100 million from its retained earnings account to its capital to pay for the increase.  The move will also result in the increase of 10 million outstanding shares.

The authority’s approval is conditional on the company’s ability to meet all regulatory requirements.