Saudi Capital Market Authority Approves Al Rajhi Bank for USD 11 Billion Capital Raise

Saudi Capital Market Authority Approves Al Rajhi Bank for USD 11 Billion Capital Raise

https://islamicmarkets.com/articles/saudi-capital-market-authority-approves-al-rajhi-bank-for-usd
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Saudi Arabia-based Al Rajhi Bank has received approval from the Capital Market Authority to raise SAR 40 billion (USD 11 billion) in alignment with the country's Vision 2030.

Why it Matters?

Through the transaction, the bank aims to increase its capital from SAR 25 billion (USD 6.7 billion) by 60% to support the bank’s operations, which is anticipated to contribute to generating good future growth ratios. The expected increase will take place via the capitalisation of SAR 15 billion from the retained earnings. Through the issuance of three bonus shares for every five existing shares, shareholders will be granted SAR 15 billion (USD 4 billion) worth of bonus shares. The shareholders eligible for the bonus shares are those own shares by the end of t...