Riyadh – Mubasher: The general assembly of Herfy Food Services Co approved the distribution of cash dividends for the second half of 2016.

The company will pay dividends at SAR 1.5 per share, totalling SAR 69.3 million and representing 15% of the nominal value, according to a bourse statement on Tuesday.

The distribution will start as of 5 June through Al Rajhi Bank.

The assembly also agreed on what was distributed for H1-16, in addition to mandating the board to distribute interim half annual and quarterly dividends for 2017.

Moreover, the meeting nodded to raising the capital from SAR 462 million to SAR 646.8 million, with a 40% increase.

The capital hike will take place via bonus shares through capitalising SAR 64.8 million from the retained earnings and SAR 120 million from the regulatory reserves.

The company noted that the raise aims to support its current and future expansions in the firm’s sectors. The eligibility of shareholders will be by the end of trades on the general assembly’s day.

Furthermore, the board’s and auditors’ reports were approved, the statement said.

In a separate statement, the Saudi Stock Exchange (Tadawul) has set the fluctuation limits for Herfy based on a share price of SAR 57.28.

The Securities Depository Center (Edaa) will deposit the additional shares into the investor’s portfolios on 25 May.