Mobile operator Zain Saudi Arabia is looking to launch its SR6bn (US$1.6bn) rights issue on 10 July. The process will close eight days later, on 17 July, the company said in a notice to the Saudi bourse.
The issuing price is expected to be SR10 without…
Mobile operator Zain Saudi Arabia is looking to launch its SR6bn (US$1.6bn) rights issue on 10 July. The process will close eight days later, on 17 July, the company said in a notice to the Saudi bourse.
The issuing price is expected to be SR10 without a premium. Banque Saudi Fransi and Al Rajhi Bank are the lead underwriters for the issue.
Zain KSA received approval from its shareholders for the rights issue, as well as for a capital reduction, a few days ago. Regulatory approval had been secured in May.
The company said, at the time, it would lower its capital from SR14bn (US$3.7bn) to SR4.8bn (US$1.3bn) ahead of increasing it again via the rights issue. The process is aimed at eliminating some of its losses.
For Q1 2012, Zain posted a net loss of SR420m (US$112m), after reporting a SR461m (US$123m) loss in the previous quarter.
