Raydan Food rights trading, new shares subscription begins tomorrow

Raydan Food Co. said subscription to new shares and the rights trading will start, tomorrow, Aug. 9.

Rights trading will end on Aug. 16, and subscription to the new shares will close on Aug. 19, the company said in a bourse statement.

Rights issue holders are allowed to exercise their right to subscribe to new shares (in full or in part) up to the number available in their portfolios. Trading in rights issue and subscription to new shares for registered shareholders and new investors will be as per the prospectus.

In the event that shares remain unsubscribed, the remaining shares and fractional shares, if any, will be offered to institutional investors, according to the prospectus. FALCOM Financial Services will underwrite the rights issue if the entire subscription is not fully covered.

According to data compiled by Argaam, shareholders of Raydan Food approved, during a meeting on July 13, to increase the company's capital by offering SAR 112.5 million rights issue.