MetLife AIG ANB invests SAR 17.5 mln of rights issue proceeds in statutory deposits

MetLife AIG ANB Cooperative Insurance Co. said it invested SAR 17.5 million of its rights issue proceeds in statutory deposits, in compliance with capital increase requirements, the company said in a statement to Tadawul.

Total proceeds from the rights issue, which ran from March 1-27 last year, amounted to SAR 175 million.

Total net proceeds reached SAR 170.8 million, while total direct and indirect costs related to the capital increase amounted to SAR 4.2 million.

A total of SAR 153.3 million was used to fulfill the solvency margin requirements and has been invested fully in time deposits with local banks and long-term investment in sukuk.

A difference of SAR 1.7 million was observed in capital increase costs, which were originally estimated at SAR 6 million in the prospectus.

“The reason of this difference is due to the actual final costs being lower than what was initially estimated. The amount has been invested in short term deposit with local banks,” the statement said.