Saudi's Safco to raise capital for expansion

Saudi Arabian Fertilizer Company (Safco) will raise its capital by 33.3 percent using retained earnings in order to finance expansion plans, it said in a bourse statement on Saturday.

The board of directors at Saudi Arabia's second-largest chemical company, a unit of Saudi Basic Industries Corporation (SABIC), approved a capital increase on Wednesday to raise the firm's capital to SR3.3bn ($888.8m) from SR2.5bn through a rights issue, distributing a bonus share for every three shares held.

"The reason for the capital increase is due to the capitalisation of part of its retained earnings to its capital to meet the company's expansion," the statement said.

Related:

Market Performance

Saudi Arabian Fertilizer Company
60.0
0.5 0.84 (%)
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
Why banking in the Gulf will never be the same again

Why banking in the Gulf will never be the same again

New technologies are emerging in banking and finance at a rapid...

How Gulf SWFs have thrown funding lifeline to tech ventures

How Gulf SWFs have thrown funding lifeline to tech ventures

Saudi Arabia and other Gulf states have ploughed money into hot...

Saudi Arabia signals new investment strategies in $3.5bn Uber deal

Saudi Arabia signals new investment strategies in $3.5bn Uber deal

Deal makes the Public Investment Fund a player in the technology...

Most Discussed
sponsoredTracking