Riyadh – Mubasher: The shareholders of Advance International Company for Communication and Information Technology have agreed to increase its capital by 25% through bonus shares.

The Saudi listed firm will capitalise SAR 5 million from the retained earnings account by issuing one bonus share for every four owned shares, according to a bourse disclosure.

Meanwhile, the new capital will stand at SAR 25 million distributed over 2.50 million shares, compared to SAR 20 million and 2 million shares prior to the raise.

The capital hike aims to strengthen the company’s financial position and support its future expansions.

It is worth noting that the shareholders granted their approval to increase the capital during the extraordinary general meeting (EGM) that was held on 18 August.

Last June, the Capital Market Authority (CMA) approved Advance International Communication's capital raise through a total of 500,000 bonus shares.