AI Summary
A Raydan Food branch
Raydan Food Co. will hold an extraordinary general meeting (EGM) on Nov. 2 to vote on reducing its capital by 53.74% to SAR 73.14 million from SAR 158.08 million. The move aims to restructure capital and offset accumulated losses.
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Capital Cut Details |
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Current Capital |
SAR 158.08 mln |
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Current No. of Shares |
15.81 mln |
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New Capital |
SAR 73.14 mln |
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New No. of Shares |
7.31 mln |
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Percentage of Decrease |
53.74% |
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Reason |
To restructure capital and offset accumulated losses |
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Date of Capital Reduction |
By the close of the second trading day following the EGM that will decide on the capital cut |
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Method |
Writing off 8.5 mln shares at 0.53736 shares for every share held |
The company said in a statement to Tadawul that the capital reduction will not affect its financial obligations.
According to Argaam data, Raydan’s board recommended in May 2025 a 53.74% capital reduction to offset accumulated losses.
The company also plans to raise its capital afterward through a rights issue worth SAR 155 million to finance expansion plans, support working capital, and strengthen its financial position.
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