Alinma Bank announced the resolution of its Board of Directors, which includes passing a recommendation to the Extraordinary General Assembly of the Bank to increase its capital from SAR 15,000 million to SAR 20,000 million by allocating one bonus share for every three shares.
Speaking on this occasion, Dr. Abdulmalek bin Abdullah Al-Hogail, Chairman of the Board of Directors of Alinma Bank, stated that capital increase represents a culmination of the results achieved by the Bank since its inception in 2009 with a capital of SAR 15,000 million. He added that the right to bonus shares would be for registered shareholders at the deposit center at the end of the second trading day following the date of the Extraordinary General Assembly meeting, which will be announced later. In the event of fractional shares, such fractions will be collected in one portfolio for all shareholders and then sold at the market price. Share value will be distributed to eligible shareholders, each according to his share within no more than thirty (30) days from the date of fixing the new shares to be granted to each shareholder, noting that capital increase and the number of bonus shares are conditional upon the approval of official authorities and the Extraordinary General Assembly.
It is worth noting that Alinma Bank achieved its first profits in 2008, which amounted to SAR 390 million. Since then, the Bank’s profits witnessed a rising growth each year. The first dividends were distributed in 2014 and amounted to 50 Halalas (5%) per share. Cash distributions continued at the same rate in 2015 and 2016. In 2017, dividends reached 80 Halalas (8%) per share and in 2018 dividends rose to SAR 1.00 (10%) per share.
Capital increase recommendation confirms the strength of the financial position of the Bank and its vision to become the preferred financial partner, which could be achieved through the constant and continuous endeavor to develop shareholders’ investments and achieve the best and highest returns for partners and shareholders currently and in the future.