Riyadh – Mubasher: The Company for Cooperative Insurance (Tawuniya) announced the board’s proposal to disburse cash dividends amounting to SAR 125 million for 2022, according to a bourse filing.
Tawuniya would pay out a dividend worth SAR 1 per share, representing 10% of the share nominal value, for 125 million eligible shares.
Meanwhile, the distribution date for the dividends will be unveiled at a later time after obtaining the general assembly’s approval.
During the same board meeting that was held on 7 May, the members suggested a 20% capital raise through the issuance of one bonus share for each five owned shares.
In order to carry out the hike transaction, the Saudi firm will capitalise SAR 250 million from the retained earnings account.
Consequently, the new capital will stand at SAR 1.50 billion distributed over 150 million shares, compared to SAR 1.25 billion and 125 million shares prior to the raise.
The capital increase aims to anchor Tawuniya’s capital base, which contributes to enlarging the rates of growth and expansion of its business during the coming years.
Last year, the insurance firm witnessed 37.20% higher net profits before Zakat at SAR 480.38 million, versus SAR 350.13 million in 2021.
