Riyadh – Mubasher: The Capital Market Authority (CMA) has approved the requests of Bank Albilad and Aldrees Petroleum and Transport Services Company to increase their capital.
The Saudi lender will raise its capital by granting one bonus share for every four owned shares at a total volume of 250 million bonus shares.
The new capital will stand at SAR 12.50 billion distributed over 1.25 billion shares, compared to SAR 10 billion and 1 billion shares before the hike.
Bank Albilad will allocate a total of SAR 2.50 billion from the retained earnings account to implement the transaction.
Aldrees
The Tadawul-listed company will increase its capital to SAR 1 billion from 750 million by issuing one bonus share for every three existing shares.
The capital raise will be carried out by transferring SAR 250 million from the retained earnings account.
Accordingly, the new capital will be distributed over 100 million shares, instead of 75 million shares.
It is worth highlighting that the CMA greenlighted the two transactions on 5 March 2024, according to bourse disclosures.
The board members of Bank Albilad proposed the 25% capital hike on 4 February, while Aldrees’ board suggested the 33.33% increase on 25 January.
In 2023, the bank logged net profits valued at SAR 2.36 billion, while the company witnessed higher profits at SAR 280.80 million.
