CMA approves Takween Advanced Industries capital hike by rights issue

24/07/2016 05:15 AST

TAKWEEN Advanced Industries Company submitted a request to the CMA to approve its capital increase by way of rights issue valued at SR600,000,000. The increase will be limited to registered shareholders at the end of trading day of the extraordinary general assembly meeting, which will be determined by the company's board of directors at a later date. The offering price and the number of shares offered for subscription will be determined by the company at the end of trading day of the extraordinary general assembly meeting.

After reviewing the company's application in light of the governing regulatory requirements, and the quantitative and qualitative criteria applicable to all companies requesting a capital increase, the CMA has issued its resolution approving Takween Advanced Industries Company's capital increase request, which is to be conducted in accordance with the tradable rights framework. The rights issue prospectus will be posted and made available to the public at a later time.

An investment decision based on company's board recommendation to increase its capital or the CMA's approval without carefully reading the rights issue prospectus or fully reviewing its content may involve high risk. Therefore, investors should carefully read the prospectus, which includes detailed information on the company, the offering and risk factors. Thus, providing investors the ability to evaluate the viability of investing in the offering, taking into consideration the associated risks. If the prospectus proves difficult to understand, it is recommended to consult with an authorized financial advisor prior to any investment decision.

Saudi Gazette