Riyadh – Mubasher: The extraordinary general meeting (EGM) of Jabal Omar Development Company approved the board’s recommendation to raise the company’s capital to SAR 11.54 billion from SAR 9.29 billion.

Hence, the company’s shares will be increased to 1.15 billion shares from 929.40 billion shares, representing a hike of 24.22% in the current capital, according to a bourse filing on Sunday. 

The capital raise aims to convert the entire debt owned by Jabal Omar towards Alinma Makkah Real Estate Fund by issuing 0.442 new shares in Jabal Omar to the fund unitholders for each unit they own in the fund.

In July, the Saudi Capital Market Authority (CMA) greenlighted Jabal Omar's proposal to increase its capital through debt conversion worth SAR 5.30 billion.

It is worth noting that in the first half (H1) of 2022, the net losses after Zakat and tax of Jabal Omar enlarged by 316.29% year-on-year (YoY) to SAR 311.09 million, versus SAR 74.73 million.