AI Summary
Logo of Saudi Industrial Investment Group (SIIG)
Saudi Industrial Investment Group’s (SIIG) board recommended reducing the company’s excess capital by 10% to SAR 6.79 billion from SAR 7.54 billion, according to a statement to Tadawul.
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Capital Cut Details |
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Current Capital |
SAR 7.54 bln |
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Current Number of Shares |
7.548 bln |
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New Capital |
SAR 6.79 bln |
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New Number of Shares |
679.32 mln |
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Percentage Decrease |
10% |
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Method |
Cancelling 10% of shares and compensating eligible shareholders |
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Reason |
Excess capital |
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Date of Capital Reduction |
By the end of the second trading day following the EGM that will decide on the capital cut |
The reduction, funded through surplus cash balances, will not materially impact SIIG’s financials, operations, or performance but is expected to improve certain financial ratios, the statement added.
Details of the process will be disclosed in the Shareholders’ Circular following regulatory procedures. The proposal is subject to approval by regulatory authorities and the company’s extraordinary general assembly.
SIIG also plans to announce the appointment of a financial adviser and submission of the capital reduction application to the Capital Market Authority (CMA) at a later date.
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