Walaa Insurance board proposes SAR 425 mln rights issue to raise capital

The board of Walaa Cooperative Insurance Co. recommended, on Sept. 17, increasing the company’s capital through a SAR 425 million rights offering. 

In a statement to Tadawul, the insurer pointed out that the capital increase aims to support the company's activity expansion and enhance the solvency margin.

Shareholders of record on the extraordinary general meeting (EGM) date, and those registered with the Securities Depository Center (Edaa) on the second trading day following the meeting date are eligible for this increase.

The proposal is subject to the approvals of the Saudi Central Bank (SAMA), the Capital Market Authority (CMA), other regulatory authorities and Al Sagr shareholders.

Any material development in this regard, including the appointment of the offering’s financial advisor and the submission of the capital increase application file to CMA, will be disclosed in due course.

Source : Argaam