
Riyadh – Sharikat Mubasher: The Saudi Central Bank (SAMA) introduced new requirements obliging licensed non-bank financial institutions to notify the regulator at least five working days before launching any investment round.
As per a recent press release, the directive applies to financing companies, payment service providers, exchange businesses, and other entities supporting financing activities that are licensed by SAMA.
Under the new rules, companies planning to raise capital must provide detailed information about the investment round, including its timeline, purpose, value, and target investors. Firms must also disclose the expected impact of the fundraising on their ownership structure and financial position.
SAMA further requires institutions to submit details on the type and structure of the investment instrument being offered, whether equity, convertible securities, debt instruments, or other financing mechanisms. Additional supporting documents may also be requested by the Central Bank.
The regulator emphasized that all licensed entities must continue to comply with existing regulations and obtain prior approval from SAMA whenever required under applicable rules.