Riyadh – Mubasher: The board of Almasane Alkobra Mining Company (Amak) has recommended a 36.36% capital increase by granting one bonus share for every 2.75 owned shares.

Amak intends to capitalise SAR 240 million from the share premium account, according to a bourse disclosure.

Accordingly, the new capital will stand at SAR 900 million distributed over 90 million shares, compared to SAR 660 million and 66 million shares prior to the hike.

The capital raise aims to support the firm’s expansion plans and strengthen its financial position.

The company also plans to transfer SAR 268.58 million to the statutory reserve account,

Meanwhile, the board’s proposal is still subject to the approvals of official authorities and the extraordinary general meeting (EGM).

In the first quarter (Q1) of 2022, Amak generated SAR 41.81 million in net profit after Zakat and tax, higher by 21.82% than SAR 34.32 million in Q1-21.