The Arab Investment Company announced the increase of its paid-up capital from US$ 700 million to US$ 800 billion through capitalization of US$ 100 from its retained earnings. Chief Executive Officer Mr. Ibrahim Al Mazyad stated that this increase was dictated by the decision taken by the leaders of the Arab Economic and Social Development Summit to increase the capitals of Arab joint companies by 50%. This increase represents a step towards achieving the target of raising the Company's paid-up capital to US$ 1,050 within the next coming five years from TAIC own resources and the contribution of the shareholders.
That statement was made following the meeting of TAIC’s ordinary and extraordinary general assemblies held in in the Company head office in Riyadh on Sunday 22/06/2014. The meeting was chaired by Eng. Ibrahim Y. Al Bassam, Chairman of the Board and attended by representatives from shareholding countries.
The GA approved the Board’s report to the Assembly on the Company's activities in 2013 relating to equity participations and financial services. The GA was also presented with the external auditor’s report and approved TAIC's 2013 final accounts. The financial results showed that TAIC closed the year with a net profit of about US$ 56 million, an increase of 36% compared to the previous year. Shareholders' equity amounted to US$ 1,025 million, and Company's assets amounted to US$ 2,247 billion. The Company's Board of Directors held its regular meeting earlier that day and discussed the periodic reports relating equity investment and banking services as well the Company's financial position.
The chairman of Board of Directors Engineer Ibrahim Al-Bassam expressed his appreciation and gratitude on behalf of the Board of Directors to the government of the Kingdom of Saudi Arabia (the host country), the government of the Kingdom of Bahrain (the host country of the Company's banking branch) and the governments of the shareholding countries for their unwavering support to the Company for the achievement of its investment and developmental objectives across the Arab world.
Chief Executive Officer Mr. Ibrahim Al Mazyad, in turn, stressed the strength of TAIC’s financial position, despite the political and economic changes witnessed by a number of Arab countries, thanks to sound and professional dealing with these conditions and developments and its prudent management of various risks. He also noted the role the Company played to support the Arab economic development process, its contribution in improving investment environment in the Arab world and promoting inter-Arab trade to achieve a better integration of Arab economy.