SABIC liquidates sukuk subsidiary

Saudi Basic Industries Corp. (SABIC) decided on March 11 to voluntarily liquidate its subsidiary SABIC Sukuk Co. after losses exceeded 50 percent of capital, the petrochemical giant said in a statement to Tadawul.

The Riyadh-based limited liability firm, which is fully owned by SABIC, was established with capital of SAR 500,000 to provide services related to the bonds and sukuk issued by SABIC and its affiliates.

SABIC Sukuk did not conduct any other business activities, and its operations and expenses were limited to its cash balance at the bank, auditor fees, and zakat.