Riyadh – Mubasher: Aldrees Petroleum and Transport Services Co.'s board recommended the distribution if cash dividends for 2016 at 10% of capital, or SAR 1 a share, totaling SAR 40 million.
The Saudi-listed company’s profits retreated 36.81% in the twelve months of 2016 to SAR 91 million compared to SAR 144 million in 2015.
The board also proposed increasing the company's capital through bonus shares from SAR 400 million to SAR 500 million, with a rise by 25%.
The number of shares will level up from 40 million to 50 million shares by offering 1 bonus share for every 4 shares owned.
The top up will be done through capitalising SAR 100 million from account retained earnings, according to a bourse filing on Tuesday.
The company noted that the aim of the capital hike is to commensurate with the size of the company's business and future expansions.
The bonus shares are limited to the shareholders of record in the Securities Depository Center Company at the end of trading on the extraordinary general assembly day, which will be determined later by the company.
In cause have bonus shares fractions; the company will collect it in one portfolio then selling it at market price during 30 days from finishing allocating the new shares, the statement said.
Aldrees said that the proposed increase would be initiated only once necessary approvals are received from official authorities as well as from shareholders in extraordinary general assembly meeting.
