Tawuniya gets CMA nod on 50% capital hike through bonus issue

The Capital Market Authority (CMA) granted The Company for Cooperative Insurance (Tawuniya) the approval to increase its capital from SAR 1.5 billion to SAR 2.25 billion.

In the regulator’s statement, the authority said the increase will be carried out through the issuance of one bonus share for every two held.

Eligible shareholders are those registered with the Security Depository Center (Edaa) by the end of the second trading day after the record date, which will be determined later.

The capital increase will be financed by transferring SAR 750 million from retained earnings, which will increase the number of shares from 150 million to 225 million, an increase of 75 million shares.

The company’s extraordinary general meeting (EGM) shall be held within six months from this approval date and the company shall satisfy all regulatory requirements and applicable laws, said the regulator.

According to data available with Argaam, Tawuniya’s board of directors recommended, in April 2026, a 50% capital increase to SAR 2.25 billion through the capitalization of SAR 750 million from retained earnings via a 1-for-2 bonus share issuance.

Capital Increase Details
Current Capital	SAR 1.5 bIn
No. of Shares	150 mln
Percentage of Increase	50%
Method	one bonus share for every two shares owned
New Capital	SAR 2.25 bln
New No. of Shares	225 mln
Reason	Strengthening the company’s capital base, thereby supporting higher growth rates and enabling the expansion of its operations in the coming years.
Method	Through the capitalization of SAR 750 million from the share premium account.
Record Date	Shareholders of record on the date of the EGM that will approve the capital increase through bonus shares, and those registered with Edaa at the end of the second trading day following the EGM. The date of the meeting will be announced later.