Edarat plans 50% capital boost to support growth plans
Edarat Communication and Information Technology Co. said its board recommended on April 12 increasing capital by 50% through granting one bonus share for every two shares held. 
Edarat will capitalize SAR 52.2 million from retained earnings, according to a statement on Tadawul.
Capital Increase Highlights
Current Capital
SAR 50.40 mln
Number of Shares
5.04 mln
Percentage Increase
50% (one-for-two bonus shares)
New Capital
SAR 75.60 mln
New Number of Shares
7.56 mln
Method
By Capitalizing SAR 25.2 mln from retained earnings
Record Date
Shareholders of record and those registered with Edaa by the close of the second trading day following the record date
Reason
To strengthen the capital base, future expansions and growth plans
Fractional shares will be collected in a single portfolio and sold at market price. Proceeds will be distributed to eligible shareholders pro rata within 30 days maximum.
The capital increase is subject to shareholder and regulatory approvals.
Updates will be duly announced, Edarat added.
Edarat plans 50% capital boost to support growth plans
Edarat Communication and Information Technology Co. said its board recommended on April 12 increasing capital by 50% through granting one bonus share for every two shares held.
Edarat will capitalize SAR 52.2 million from retained earnings, according to a statement on Tadawul.
Capital Increase Highlights
Current Capital
SAR 50.40 mln
Number of Shares
5.04 mln
Percentage Increase
50% (one-for-two bonus shares)
New Capital
SAR 75.60 mln
New Number of Shares
7.56 mln
Method
By Capitalizing SAR 25.2 mln from retained earnings
Record Date
Shareholders of record and those registered with Edaa by the close of the second trading day following the record date
Reason
To strengthen the capital base, future expansions and growth plans
Fractional shares will be collected in a single portfolio and sold at market price. Proceeds will be distributed to eligible shareholders pro rata within 30 days maximum.
The capital increase is subject to shareholder and regulatory approvals.
Updates will be duly announced, Edarat added.
