Gulf General EGM to vote on continuation, loss recovery plan on Dec. 10

Gulf General Cooperative Insurance Co. to decide on business continuation after losses reached 50% of capital

Gulf General Cooperative Insurance Co. shareholders will vote during an extraordinary general assembly meeting (EGM), to be held on Dec. 10, 2025, on the board recommendation pertaining to the company’s continuation after losses reached 50% of capital, in accordance with article 132 of Companies Law.

In a statement to Tadawul, the company said the EGM’s agenda includes authorizing the board of directors to work on the procedures contained in its recommendation related to addressing the accumulated losses.

The company noted that the measures taken to address the accumulated losses, in accordance with the board’s recommendation, are as follows:

- Reduction of general and administrative (G&A) expenses.

- Continuation of intensive efforts to minimize losses in individual motor insurance.

- Growth of sales through digital channels to improve cost-efficiency.

- Continuation of intensive efforts to improve pricing and rationalize costs.

- Considering all other potential measures, including, but not limited to, increasing capital (either by rights issue to existing shareholders or by increasing capital through the issuance of new shares with suspended priority rights to new strategic investors or to current shareholders) or by merging with another company listed in the market.

According to Argaam’s data, the company’s accumulated losses amounted to about 74% of capital by the end of Q3 2025.