Riyadh – Mubasher: The extraordinary general meeting (EGM) of Advanced Petrochemical approved increasing the company’s capital by 20% through 1-for-5 bonus issue, according to a bourse filing on Sunday.

Upon this move, the company’s capital will move to SAR 1.97 billion from 1.64 billion, divided into 196.8 million shares rather than 164 million shares and financed from the retained earnings.

The increase aims at offsetting the company’s capital adequacy ratio as well as backing future investments, the bourse sharing indicated.

Earlier, the board recommended paying cash dividends for the second quarter of 2016 at SAR 0.75 a share, or 7.5% of capital, totaling SAR 123 million.

During the second quarter, the company’s Q2 profits declined 23.5% year-over-year to SAR 186 million from SAR 243.15 million.