The National Bank of Saudi Arabia announced the completion of capital increase procedures with the Credit Suisse Group; To become the owner of 9.88% of the group’s shares, as of December 9, 2022 AD.
According to Arabiya Net, Al-Ahly Saudi explained in a statement that the cost of participation in the capital of the Credit Suisse group amounted to 1.396 billion Swiss francs, which is equivalent to approximately 5.5 billion riyals.
It is worth noting that the National Bank of Saudi Arabia agreed to invest 1.5 billion Swiss francs ($1.59 billion) in the Swiss bank, and it is scheduled to acquire a stake of up to 9.9%.
In a previous interview with Al-Arabiya, Ammar Al-Khudairi, Chairman of the Board of Directors of the National Bank of Saudi Arabia, said that investing in Credit Suisse is tactical, not strategic, adding that the bank has set investments in Credit Suisse at about 9.9%, and this percentage will not be raised.
Al-Khudairi said, We have no desire to enter the Board of Directors of Credit Suisse or to interfere in its decisions, and we may consider exiting in 2024 or 2025, but it will not be before 2024.
Credit Suisse offered 889 million new shares to existing investors at a price of 2.52 Swiss francs per share, confirming the details of its capital increase of four billion francs.
The capital increase, which was approved by investors, aims to fund the bank's turnaround plan to recover from a series of scandals and losses.
Credit Suisse said the share issue is expected to raise 2.24 billion Swiss francs.
