AI Summary
Tabuk Agricultural Development Co. (TADCO) shareholders will vote on reducing capital by 52.94% from SAR 391.77 million to SAR 184.36 million to amortize accumulated losses, during an extraordinary general assembly, scheduled to be held on Dec. 10, 2025.
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Capital Reduction Details |
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Current Capital |
SAR 391.77 mln |
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Number of Shares |
39.18 mln |
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New Capital |
SAR 184.36 mln |
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New Number of Shares |
18.44 mln |
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Reduction (%) |
52.94 % |
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Capital Reduction Method |
Canceling 20.74 million shares at one share per every 1.89 shares held |
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Reason |
To restructure the company's capital to amortize accumulated losses |
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Date of Reduction |
Dec. 10, 2025 (and to those registered with the Security Depository Center (Edaa) as of the close of the second trading day after the EGM |
The company emphasized that the capital reduction will have no impact on its financial obligations, operations, financial performance, or regulatory status.
The EGM will also vote on the cancellation of the Ordinary General Assembly’s resolution held on Sept. 25, 2024 regarding the approval of the board of directors’ recommendation to divest from Masader Agricultural Fodder Company Ltd. by selling all of Tabuk Agricultural’s owned shares in Masader Agricultural Fodder Company Ltd., representing 60% of the company’s total shares, to partner Ahmed Hussein Al-Omari for an amount of SAR 7 million, including the factory owned by Ahmed Hussein Al-Omari Establishment, in which the company also owns 60%.The divestment was aimed at stopping the continuous annual losses, which averaged SAR 4 million per year, and at providing the company with SAR 7 million in cash liquidity from the sale, as well as achieving net profits of SAR 9.6 million from the divestment, which will be recorded directly in the profit or loss statement.
The current board of directors will be authorized to take all necessary actions deemed appropriate in the best interest of the company.
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