MEDGULF workplace


The Mediterranean and Gulf Cooperative Insurance and Reinsurance Co.’s (MEDGULF) set dates for the prepared rights concern trading and membership procedure to brand-new shares, according to a bourse filing.



The rights concern trading duration and membership to brand-new shares will start on Nov. 15.



Meanwhile, the rights trading will end on Nov. 22, while the membership procedure will close on Nov. 25.



Rights problem holders are enabled to exercise their right to register for brand-new shares (completely or in part) approximately the number readily available in their portfolios. Trading in rights concern and membership to brand-new shares for signed up investors and brand-new financiers will be based on the prospectus.



In the occasion that shares stay unsubscribed, the staying shares and fractional shares, if any, will be used to institutional financiers, according to the prospectus. The underwriter SNB Capital will sign up for the rights concern if the whole rights are not totally covered.



The financiers that are not going to subscribe need to offer the rights problem throughout the defined trading duration to prevent the resulting decrease in the worth of their financial investment portfolios as an outcome of not gaining from their rights, whether by method of sale or membership.



According to information assembled by Argaam, investors authorized the board of directors’ suggestion to increase capital from SAR 700 million to SAR 1.05 billion through SAR 420 million rights problem, throughout the remarkable basic assembly conference (EGM) hung on Nov. 3.




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Capital Increase Details

Current capital

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SAR700 mln

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Number of shares

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70 mln

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Capital boost %

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50%

Capital after boost (

SAR
1.05 bln

Number of shares after boost

105 mln

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)

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) Rights Issue Details

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Number of shares used

35 mln )

Offer rate

SAR12

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Size of problem

SAR420 mln

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Rights coefficient

0.5 right for each share held

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Record date(
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By the close of trading on the EGM date

Uses of using profits

Funding the business’s possible financial investments

SAR 377 mln

Increasing the statutory deposit

SAR 36 mln

Offering expenses

SAR 7 mln

.