Logo of Salama Cooperative Insurance Co.
It plans to offer 10 million shares at SAR 10 each, raising capital by 50% from SAR 200 million to SAR 300 million. 
The company aims to use the proceeds to support future plans, strengthen its solvency margin, meet minimum capital requirements, and increase the statutory deposit.
Shareholders will vote on the board’s recommendation to increase capital during the extraordinary general meeting (EGM) to be held on Oct. 24.
The Capital Market Authority (CMA) approved late last month Salama’s request to top-up capital through a rights issue.
Capital Increase Details
Current Capital
SAR 200 mln
Number of Shares
20 mln
Capital Hike (%)
50%
New Capital
SAR 300 mln
New Number of Shares
30 mln
Rights Issue Details
Offered Shares
10 mln
Offer Price
SAR 10
Issue Size
SAR 100 mln
Eligibility Ratio
1 right per each two existing shares
Proceeds (SAR mln)
Bank deposits
87.5
Statutory deposit increase
7.5
Offering costs
5
Additional Information
Financial Advisor, Lead Manager Underwriter
Alawwal Capital
Co-Underwriter
Al-Nefaie Investment
Logo of Salama Cooperative Insurance Co.
It plans to offer 10 million shares at SAR 10 each, raising capital by 50% from SAR 200 million to SAR 300 million.
The company aims to use the proceeds to support future plans, strengthen its solvency margin, meet minimum capital requirements, and increase the statutory deposit.
Shareholders will vote on the board’s recommendation to increase capital during the extraordinary general meeting (EGM) to be held on Oct. 24.
The Capital Market Authority (CMA) approved late last month Salama’s request to top-up capital through a rights issue.
Capital Increase Details
Current Capital
SAR 200 mln
Number of Shares
20 mln
Capital Hike (%)
50%
New Capital
SAR 300 mln
New Number of Shares
30 mln
Rights Issue Details
Offered Shares
10 mln
Offer Price
SAR 10
Issue Size
SAR 100 mln
Eligibility Ratio
1 right per each two existing shares
Proceeds (SAR mln)
Bank deposits
87.5
Statutory deposit increase
7.5
Offering costs
5
Additional Information
Financial Advisor, Lead Manager Underwriter
Alawwal Capital
Co-Underwriter
Al-Nefaie Investment
