Riyadh-Mubasher: Saudi Investment Bank (SAIB) has obtained the approval of Capital Market Authority (CMA) to increase its capital to SAR 7 billion ($1.87 billion) from SAR 6.5 billion ($1.73 billion), the market regulator said in a statement posted Tuesday.
The top-up will be effected through distributing 1-for-13 bonus shares.
Shareholders of record on the date of the upcoming extraordinary general meeting will be eligible for the distribution.
The capital hike will be financed through transferring SAR 500 million ($133.31 million) from the bank’s retained earnings.
The move aims to boost the bank's capital base, which will help spur growth rates and expand business in the next years.
The stock closed Monday 0.86% lower at SAR 16.16.
