Al Tayyar gets regulatory nod on capital hike

The Capital Market Authority (CMA) approved Al Tayyar Travel Group’s 43 percent capital hike to SAR 3 billion from SAR 2.096 million through issuance of two bonus shares for every five shares held, the market regulator said in a statement to Tadawul.

The shares will be deposited into the accounts of registered shareholders at the Security Depository Center by the end of the second trading day following the record date, which will be determined later by the company's board.

The planned capital hike will be financed through capitalizing SAR 707.35 million from retained earnings and SAR 196.16 million from the company’s statutory reserve.

Accordingly, Al Tayyar’s total number of shares will be increased to 300 million from SAR 209.65 million.

The extraordinary general assembly meeting will be held within six months from approval date and the company should fulfil all regulatory requirements, the statement said.

In February 2019, the travel group's board of directors had earlier recommended a 43 percent capital hike to SAR 3 billion from SAR 2.096 million through issuance of three bonus shares for every seven shares held, Argaam reported.