Wafa uses rights issue proceeds to boost solvency margin

Saudi Indian Co. for Cooperative Insurance (Wafa Insurance) has used SAR 90.6 million from SAR 100.5 million of total proceeds generated from a rights issue to boost its solvency margin, the insurer said in a statement to Tadawul.

 The amount was invested as Murabaha Term Deposit with a local bank, the company added.

Costs associated with the offering reached SAR 3.9 million, and 10.5 million was added to the statutory deposit, in line with the statutory deposit with the capital increase.

Wafa held the rights issue in April 2015 to raise capital to SAR 205 million from SAR 100 million.