AI Summary
Shareholders of Abdulmohsen Alhokair Group for Tourism and Development are set to vote on a 37.64% capital reduction from SAR 550 million to SAR 343 million, through writing off 207 million shares, to offset accumulated losses, during an extraordinary general meeting (EGM) scheduled for July 8.
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Key Figures of the Capital Cut |
|
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Current Capital |
SAR 550 mln |
|
Number of shares |
55 mln |
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Reduction (%) |
37.64% |
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New Capital |
SAR 343 mln |
|
New number of shares |
34.3 mln |
|
Method |
Writing off 20.7 million shares (1 share for every 2.657 shares) |
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Reason |
Restructuring the company’s capital to offset accumulated losses reaching SAR 207 million as on Sep. 30, 2020 |
|
Date |
The second trading day after the company’s extraordinary general meeting (EGM) |
The capital reduction proposal will not impact the company’s liabilities and is subject to the approval of the competent authorities and the upcoming general meeting, Alhokair said in a bourse statement.
On the other hand, shareholders will also vote on increasing capital through SAR 307 million rights issue, to boost the company’s solvency and reduce borrowing rates.
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Key Figures of the Capital Increase |
|
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Current Capital |
SAR 343 mln |
|
Number of shares |
34.3 mln |
|
Increase (%) |
89.5% |
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New Capital |
SAR 650 mln |
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New number of shares |
65 mln |
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Method |
Offering and listing 30.7 mln rights shares |
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