Logo of Etihad GO Telecom Co.
Etihad GO Telecom Co. (GO Telecom) announced that its wholly owned subsidiary, GO Money, obtained the Saudi Central Bank’s (SAMA) approval to raise its capital from SAR 20 million to SAR 138 million, the company said in a statement to Tadawul. 
The planned capital hike amounts to SAR 118 million, representing 590% of the subsidiary’s current capital.
The company said the increase will be funded through an additional cash contribution of SAR 100 million from GO Telecom, along with the capitalization of SAR 18 million from previous additional capital contributions made to the subsidiary.
The capital increase aims to strengthen GO Money’s financial position and support the growth of its business and financing portfolio, while GO Telecom will retain 100% ownership of the subsidiary following the increase.
GO Money will complete the necessary statutory and regulatory procedures to implement the capital increase, including amending its Articles of Association and registering the changes with the relevant authorities.
The financial impact of the transaction will be reflected in the financial statements of both GO Telecom and GO Money in accordance with applicable accounting standards.
Capital Increase Details
Current Capital
SAR 20 mln
Number of Shares
138 mln
Percentage of Increase
590%
New Capital
SAR 118 mln
Method
Through an additional cash contribution of SAR 100 million from GO Telecom, along with the capitalization of SAR 18 million from previous additional capital contributions made to the subsidiary.
Reasons
To strengthen GO Money’s financial position and support the growth of its business and financing portfolio, while GO Telecom will retain 100% ownership of the subsidiary after the planned capital hike.
Logo of Etihad GO Telecom Co.
Etihad GO Telecom Co. (GO Telecom) announced that its wholly owned subsidiary, GO Money, obtained the Saudi Central Bank’s (SAMA) approval to raise its capital from SAR 20 million to SAR 138 million, the company said in a statement to Tadawul.
The planned capital hike amounts to SAR 118 million, representing 590% of the subsidiary’s current capital.
The company said the increase will be funded through an additional cash contribution of SAR 100 million from GO Telecom, along with the capitalization of SAR 18 million from previous additional capital contributions made to the subsidiary.
The capital increase aims to strengthen GO Money’s financial position and support the growth of its business and financing portfolio, while GO Telecom will retain 100% ownership of the subsidiary following the increase.
GO Money will complete the necessary statutory and regulatory procedures to implement the capital increase, including amending its Articles of Association and registering the changes with the relevant authorities.
The financial impact of the transaction will be reflected in the financial statements of both GO Telecom and GO Money in accordance with applicable accounting standards.
Capital Increase Details
Current Capital
SAR 20 mln
Number of Shares
138 mln
Percentage of Increase
590%
New Capital
SAR 118 mln
Method
Through an additional cash contribution of SAR 100 million from GO Telecom, along with the capitalization of SAR 18 million from previous additional capital contributions made to the subsidiary.
Reasons
To strengthen GO Money’s financial position and support the growth of its business and financing portfolio, while GO Telecom will retain 100% ownership of the subsidiary after the planned capital hike.
