The extraordinary general meeting of the Development Bank agreed to increase the bank’s capital, during its meeting held yesterday, Wednesday.
The bank said in a statement to the Saudi market (Tadawul) today, Thursday, that the general assembly approved the recommendation of the board of directors to increase the bank’s capital by granting bonus shares at the rate of one share for every three shares.
He explained that the increase process will take place through the total amount of the increase, which is 5 billion riyals, so that the capital becomes 20 billion riyals instead of 15 billion, with an increase of 33.33%.
The increase will be made by capitalizing an amount of (3,423) million riyals from the statutory reserve item and an amount of (1,577) million riyals from the retained earnings item, by granting one share For every three shares owned.
According to the statement, this increase aims to enhance the bank's resources, which contributes to achieving good growth rates during the coming years.
The bank’s general assembly also agreed to exchange an amount of 4.39 million riyals in remuneration for members of the board of directors for the past fiscal year ending December 31, 2019.
The bank’s general assembly agreed to authorize the board of directors to distribute interim dividends on a semi-annual basis for the current fiscal year 2020.
