Saudi market regulator approves Saudi Hollandi Bank's capital raise

Saudi Arabia’s Capital Market Authority (CMA) approved on Thursday Saudi Hollandi Bank’s request to raise its capital from SAR 4762.8 million to SAR 5715.4 million through the issuance of bonus shares.

Saudi Hollandi will issue one bonus share for every five existing shares owned by registered shareholders at its next extraordinary general assembly meeting, which will be determined later by the bank's board.

The meeting should be held within six months from the CMA’s approval date, according to regulator rules.

The bank will pay for the increase by capitalizing an amount of SAR 952.6 million from its retained earnings account.

Participation will be limited to shareholders who are already listed in the registry at the close of trading on the day of the bank's extraordinary general assembly meeting.