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Al-Jouf Agricultural Development Co. has officially submitted an application to the Saudi Capital Market Authority (CMA) to increase its share capital through the issuance of new ordinary shares, with pre-emptive rights suspended. The proposed transaction aims to expand the company's capital from SAR 300 million to SAR 345 million, representing a capital increase of 15% through the creation of 4.5 million new shares.
Under the terms of the agreement, Almunajem Foods Co. will fully subscribe to all 4.5 million newly issued ordinary shares at an agreed total subscription value of SAR 236.25 million. The issue price reflects a premium over the nominal value of SAR 10 per share, corresponding to an agreed book value of SAR 52.5 per share. Post-issuance, the newly created shares will account for 13.04% of Al-Jouf Agricultural's enlarged share capital.
The regulatory submission follows a previous board recommendation made in August. The completion of this strategic equity investment remains subject to final regulatory clearance from the CMA and the required approval of shareholders during an Extraordinary General Meeting. Traders will watch for official updates regarding EGM timing and finalized subscription timelines.
