Seera publishes shareholders’ circular on 8.65% capital cut

Logo of Seera Group Holding Co.

Seera Group Holding Co. published the shareholders’ circular regarding the company’s 8.65% capital reduction from SAR 3 billion to SAR 2.74 billion, citing excess capital over its needs.

The company said the Capital Market Authority (CMA) approved on April 2 its request to reduce capital from SAR 3 billion to SAR 2.74 billion, thereby reducing the number of shares from 300 million shares to 274.05 million shares.

It noted that the creditors’ objection period began on April 5, and will continue for at least 45 days before the extraordinary general meeting (EGM) to vote on the capital reduction, following the CMA’s approval.

Once the EGM approves capital reduction, the decision will become effective and trading of the company’s shares on Tadawul will be suspended for two trading days starting from the trading day following the EGM approval. Trading will resume on the next trading day after the suspension, with no change to the share price.

The company also confirmed that no fractional shares will arise from the capital reduction, as it will be implemented through the cancellation of treasury shares.

The share price will remain unchanged, and the capital reduction will not impact the market value of shareholders’ portfolios.

According to Argaam data, Seera set June 2 as the date for the general assembly meeting to vote on several agenda items, including the board of directors’ recommendation to reduce the group’s capital by 8.65% from SAR 3 billion to SAR 2.74 billion.