Malath Insurance updates use of rights issue proceeds

Malath Cooperative Insurance Company’s (Malath Insurance) proceeds from its SAR 380 million rights issue were spent according to the prospectus, the firm said in a statement to Tadawul.

The company spent around SAR 8.8 million for costs associated with the offering and SAR 75 million for the statutory deposit, as of Jan. 31, 2018.

The remaining amount was used to meet the required solvency margin and statutory reserves according to regulations, it added.

Last year, Malath Insurance’s extraordinary general assembly approved raising the insurer’s capital by 316.7 percent to SAR 500 million from SAR 120 million through a rights issue of SAR 380 million.