Saudi Cement plans 1-for-2 share issue, cash dividend

Saudi Cement plans 1-for-2 share issue, cash dividend
Published: 01 March 2010

Saudi Cement Company plans to issue one free share for each two held by investors and a cash dividend of 3.50 riyals ($0.93) for 2009, Saudi Arabia’’s second-largest producer said.

’’Company shares will increase from 102 million shares to 153 million shares by providing shareholders one free share for each two shares they currently own,’’ the firm said in a statement on the bourse website on Wednesday.

The move, which will raise the company’’s capital to SR1.5 billion from SR1 billion, is subject to shareholders’’ approval.

The company also proposed a dividend of 3.50 riyals per share for 2009, another statement said.

The firm said it made a made a net profit of SR582 million in 2009, down 6.3 per cent from the previous year, due to increased operational costs.