The Saudi Capital Market Authority announced the issuance of its decision approving the request of the Saudi Arabian Oil Company, Saudi Aramco, to increase its capital from 75 billion riyals to 90 billion riyals.
The Authority stated, in a statement yesterday, Monday, that the increase in the capital will be by granting a free share for every 10 outstanding shares owned by the shareholders registered in the issuer’s shareholder register at the Depository Center at the end of the second trading day following the due date, the date of which will be determined by the company’s board of directors. Later.
The authority stated that the value of the capital increase will be paid by transferring an amount of 15 billion riyals from the item of retained earnings. Thus, the number of shares increases from 220 billion shares to 242 billion shares, an increase of 22 billion shares.
The authority stipulated that the date of the extraordinary general assembly meeting should not exceed six months from the date of this approval, provided that the company completes the relevant legal procedures and requirements.
Aramco's board of directors recommended last March to the Extraordinary General Assembly to increase the company's capital by 20% by granting bonus shares by capitalizing 15 billion riyals of retained earnings. By granting one share for every 10 shares owned by the shareholders.
The company stated that the capital will increase from 75 billion riyals to 90 billion riyals, by 20%, equivalent to 15 billion riyals, noting that the number of shares will increase from 220 billion shares to 242 billion shares.
In April 2022, the Saudi Capital Market Authority announced the issuance of its decision approving Saudi Aramco’s request to increase its capital from 60 billion riyals to 75 billion riyals, by granting free shares to shareholders.
