Riyadh Steel Company announces the recommendation of the company’s Board of Directors to the Extraordinary General Assembly to increase the company’s share capital by granting 40% bonus shares
Date of Board Meeting
2023-12-25 Corresponding to 1445-06-12
Capital before increase
50,000,000 SAR
Capital after increase
70,000,000 SAR
Percentage of Capital increase
40 %
Number of shares before Capital increase
5000000
Number of shares after Capital increase
7000000
Reasons for the increase
Supporting the company’s financial position and future growth plans
Number of Shares Granted per Exiting Share
Granting four shares for every ten shares owned by shareholders
Nature and Value of Reserves Used in the Capitalization
Only 20,000,000 Saudi Riyals will be capitalized from the Retained Earnings
Eligibility Date
Eligible Shareholders are Those Holding Shares in the Eligibility Date as per the Shareholders Registry at the Deposit Center at The End of The Second Working Day after Eligibility Date
Fractional Shares
In the event that there are fractional shares granted, the fractions will be collected in one portfolio for all shareholders and sold at the market price, then their value will be distributed to the shareholders entitled to the grant, each according to their share ownership, within a period not exceeding 30 days from the date of determining the new shares entitled to each shareholder
Approvals
The proposed grant is subject to obtaining necessary approvals from official authorities and extraordinary general assembly meeting on the capital increase and number of granted shares
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