ACIG gets SAMA nod on proposed capital hike to SAR 291 mln through rights issue

Allied Cooperative Insurance Group (ACIG) obtained, on  Oct. 1,  the Saudi Arabian Monetary Authority’s (SAMA) no objection on its proposed rights issue to raise its capital from SAR 141 million to SAR 291 million.

The process is conditional upon meeting all other regulatory requirements, the insurer said in a bourse statement.

The authority’s no objection is valid for one year and SAMA should be notified with the process updates on a quarterly basis.

ACIG will disclose any updates regarding this matter on a timely manner, the statement added.

In August, ACIG shareholders approved a 29.5% capital cut to SAR 141 million from SAR 200 million during the extraordinary general assembly meeting (EGM) held on August 26, 2020.

Earlier this year, the company’s board recommended raising capital through a SAR 150 million rights issue, following the capital cut process.