Fesh Fash board recommends 33% capital increase via bonus shares


Logo of Fesh Fash Snack Food Production Co.



Fesh Fash Snack Food Production Co.’s board of directors recommended, on Nov. 3, increasing the company’s capital by 33%, through distributing one bonus share for every three shares held, according to a bourse filing.















Capital Increase Details

Current Capital

SAR 11.30 mln

Number of Shares

1.13 mln

Percentage of Increase

33%

Method

Issuance of one bonus share for every three shares held via the capitalization of SAR 1.24 mln from statutory deposit and SAR 2.52 mln of retained earnings

New Capital

SAR 15.07 mln

New Number of Shares

1.51 mln

Reason

Support the company’s solvency margin and capital to match its business size and future plans

Record Date



Shareholders registered with the Securities Depository Center Co. (Edaa) at the end of the second trading day following the EGM date. 




The capital increase and the bonus share distribution are subject to the approval of the competent authorities as well as the company’s EGM.




Fractional shares, if any, will be accumulated into one investment portfolio and will be sold at market price within 30 days on a pro-rata basis from the date of determining the allocation of new shares for each shareholder, the company noted.




Tags: Saudi Arabia, News, Capital Hike, Fesh Fash, Bonus shares