Al-Khodari proposes SAR 500 mln capital hike to fund expansions

Saudi Arabia’s Abdullah A. M. Al-Khodari Sons Co. has proposed raising its capital by SAR 500 million ($133 million) through a rights issue in order to use the money to expand its businesses, the company said in a statement to the bourse.

The company plans to use the capital to fund its infrastructure projects across the kingdom, said chief executive Fawaz Abdullah. 

The board of directors is expected to approve the request soon at its next extraordinary general assembly meeting, according to the statement. 

Al-Khodari was awarded on Thursday a SAR 1.35 billion contract by the ministry of education to build staff housing units at King Khaled University in Faraa, according to Argaam. The project, which will take three years to complete, will be financed through Murabaha loans and other instruments from local and foreign banks, the company said. 

The company plans to begin work on the project this month, Abdullah said in an interview with Al Arabiya news channel on Thursday.