Riyadh Bank said yesterday it planned to increase its paid-up capital from SR4 billion to SR5 billion ($1.3 billion) through a one-for-four share issue financed by a transfer of funds from reserves. The bank said it would also distribute a SR10 dividend per share for the second half of 2004. If approved by authorities, the proposal "will be recommended to the general assembly meeting that is expected to be held in the month of February 2005," Riyadh Bank Chairman Rashid A. Al-Rashid said. Riyadh Bank shares, which were suspended shortly after the announcement at SR553.0, shot up in later trade by the maximum daily limit of 10 percent to close at SR600.5. The bank said its net profits in the first nine months of the year rose by 16.6 percent to SR1.416 billion ($377.6 million). Riyadh Bank, the third-largest listed Saudi bank in terms of market capitalization, said total operating income rose to SR2.498 billion, up 3.5 percent from a year ago. Assets rose 4.6 percent to SR73.22 billion, loans and advances grew 17.6 percent to SR31.98 billion, and total customer deposits gained 5.7 percent to SR47.48 billion.
