First stage of Takween rights issue to begin on Sept. 27

Takween Advanced Industries will launch the first round of its SAR 600 million rights issue from Sept. 27 to Oct. 6, the company said in a statement to the Saudi bourse Tadawul on Sunday.

The company will offer 60 million shares at SAR 10 per share at a ratio of 1.71 share issued for every existing share.

During the first stage, only registered shareholders can subscribe to the new shares as per the number of rights deposited in their portfolios after the extraordinary general assembly.

Rights are also tradable by shareholders or investors during this stage, the statement added.

In the second stage, which will be from Oct. 9 to Oct. 11, all rights holders—whether registered shareholders or investors who bought rights during the first stage—are allowed to exercise their rights. However, rights cannot be traded at this stage.

Unsubscribed shares after this stage will be offered as described in the prospectus.

Last week, the company’s shareholders approved the board’s recommendation to increase capital by 171.4 percent to SAR 950 million through a SAR 600 million rights issue.