Logo ofMiddle East Pharmaceutical Industries Co. (Avalon Pharma)
Middle East Pharmaceutical Industries Co.’s (Avalon Pharma) board of directors recommended, on Jan. 29, a 75% capital increase through a 75% bonus share issue (3-for-4 bonus share issue), according to a statement toTadawul. 
Capital Increase Details
Current Capital
SAR 200 mln
Current Number of Shares
20 mln
Proposed Increase
75%
New Capital
SAR 320 mln
New Number of Shares
35 mln
Reason
To support the company’s growth strategy, enhance its capital base, and strengthen its financial position to implement its future plans and activities, thereby contributing to enabling the Company to expand and maximize returns on shareholders’ equity.
Method
Capitalizing SAR 150 mln from the retained earnings account
Record Date
Shareholders of record at the end of the extraordinary general meeting (EGM) approving the process and those registered with the Securities Depository Center Co. (Edaa) at the end of the second trading day after the record date
Fractional shares, if any, will be compiled into a single portfolio for all shareholders,and will besold atmarket price. Their valuewill bedistributed to eligible shareholders pro rata within a period not exceeding 30 days.
The capital increase, issuance of bonus shares, and treasury shares are subject to obtaining the necessary approvals from the relevant regulatory authorities and the company’s EGM, the statement added.
Logo ofMiddle East Pharmaceutical Industries Co. (Avalon Pharma)
Middle East Pharmaceutical Industries Co.’s (Avalon Pharma) board of directors recommended, on Jan. 29, a 75% capital increase through a 75% bonus share issue (3-for-4 bonus share issue), according to a statement toTadawul.
Capital Increase Details
Current Capital
SAR 200 mln
Current Number of Shares
20 mln
Proposed Increase
75%
New Capital
SAR 320 mln
New Number of Shares
35 mln
Reason
To support the company’s growth strategy, enhance its capital base, and strengthen its financial position to implement its future plans and activities, thereby contributing to enabling the Company to expand and maximize returns on shareholders’ equity.
Method
Capitalizing SAR 150 mln from the retained earnings account
Record Date
Shareholders of record at the end of the extraordinary general meeting (EGM) approving the process and those registered with the Securities Depository Center Co. (Edaa) at the end of the second trading day after the record date
Fractional shares, if any, will be compiled into a single portfolio for all shareholders,and will besold atmarket price. Their valuewill bedistributed to eligible shareholders pro rata within a period not exceeding 30 days.
The capital increase, issuance of bonus shares, and treasury shares are subject to obtaining the necessary approvals from the relevant regulatory authorities and the company’s EGM, the statement added.
