Tihama rights trading, subscription to start tomorrow

Tihama Advertising and Public Relations Co. said subscription to new shares and the rights trading will start tomorrow, July 20.

Rights trading will end on July 27, and subscription to the new shares will close on August 6, the company said in a bourse statement.

Rights holders are entitled to subscribe to the new shares partially or fully pro rata. The remaining shares will be reoffered to institutional investors.

Investors not willing to subscribe to the offering should note the importance of selling the rights they hold during the specified trading period to avoid the resulting decline in the value of their investment portfolios as a result of not benefiting from their rights, whether by way of sale or subscription, the statement added.

In case of under subscription, the financial advisor, lead manager and underwriter, Falcom Financial Services will subscribe to these rights.

Earlier this month, Tihama’s shareholders approved a capital increase from SAR 75 million to SAR 175 million, through a SAR 100 million rights issue, Argaam earlier reported.