Petro Rabigh rights trading, new shares subscription to begin tomorrow

Logo of Rabigh Refining and Petrochemical Co. (Petro Rabigh)

Rabigh Refining and Petrochemical Co.’s (Petro Rabigh) subscription to new shares and rights trading will begin tomorrow, June 14, according to a bourse statement.

The rights trading will close on June 21, while the subscription to the new shares will end on June 26.

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

The remaining and fractional shares, if any, will be offered to institutional investors, according to the prospectus.

The underwriters, who are mentioned in the prospectus, will underwrite the new shares that remain unsubscribed to after the rump offering.

Investors, who are not willing to subscribe, must sell their rights during the specified trading period to avoid the decline in the value of their investment portfolios as a result of not benefiting from their rights, whether by way of sale or subscription, Petro Rabigh said.

Last week, Petro Rabigh’s shareholders approved the capital increase by 90.75% through offering a SAR 7.95 billion rights issue, during the extraordinary general meeting (EGM) held on June 8, Argaam reported.

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