Alijarah Holding QSC declared the signing of an agreement with Masraf Al Rayan concerning the increase of capital through rights issue.
This agreement supports the endeavors of Alijarah to ease the procedures for the increase in capital through Rights issue as the cooperation with Masraf Al Rayan shall organize the process and make it more efficient taking into account the extensive experience of Masraf Al Rayan in such area.
- Board of Directors decision to increase the capital
Based on the performance of Alijarah over the past years and its ambitions which are reflected in the unique financial results, the BOD has become convinced to take the decision to increase the capital of the company by 50% from QR 329,868,000 to QR 494,802,000 by issuing 16,493,400 new shares for the shareholders at a rate of one new share for each two shares, with a nominal value of QR 10, and premium value of 19.50 QR per share, taking into account that the fair value as estimated by M /s. Ernst & Young is about QR 37.
- Financial results supported the decision to increase the capital.
The decision of the Board of Directors to increase the company's capital was the result of the good financial results of Alijarah in fiscal year 2011 and the growth in net profit, operating income and the apparent increase in the total assets of the company and the increase of the total equity. All of this supported the decision of the Board of Directors to increase the company's capital as was announced in the Extra-ordinary General Meeting which was held on February 29, 2012. At the same meeting, the Shareholders of Alijarah Holding approved the decision to amend Article 6 of the Statute so that after the amendment reads as follows:
- The Share Capital of the Company shall be QR. 494,802,000 (Four hundred ninety four million Eight hundred two thousand) divided into 49,480,200 shares (forty nine million four hundred eighty thousand two hundred shares) at a nominal value of QR. 10 per share. It was also decided to empower the Board of Directors to implement the above‐mentioned resolutions and to complete all procedures before the competent Authorities.
