Allied Cooperative Insurance Group (ACIG) has received the approval of the Insurance Authority to increase the company's capital to SAR300m ($80m) from SAR291m.
The increase of SAR9m is to be effected through the issuance of 900,000 new ordinary shares with a nominal value of SAR10 each, ACIG.
Diar Al-Arabia Investment Company will subscribe to all the new shares.
ACIG's capital increase is part of its commitment to the minimum paid-up capital requirement for insurance companies, which amounts to SAR300m.
The Insurance Authority had issued a letter dated 15 July 2025, which stipulated that a corrective plan must be submitted by the company to comply with the minimum paid-up capital within 10 working days from the date of the letter.
An extraordinary general meeting will be held to vote on the capital increase proposal.
As of 31 December 2024, ACIG’s share capital stood at SAR291m. Accumulated losses reached SAR92.4m, representing 31.75% of the share capital.