The Saudi Capital Market Authority announced the issuance of its decision approving the request Etihad Atheeb Telecom Company Reducing its capital from 228.52 million riyals to 89.99 million riyals.
Accordingly, the number of shares decreases from (22,852,900) shares to (8,999,900) shares.
The authority said in a statement on the website of the Saudi Stock Exchange “Tadawul” today, Wednesday, that its approval is conditional on the approval of the company’s extraordinary general assembly and the completion of the relevant procedures and legal requirements.
The company will publish a report prepared by it containing the proposed method for reducing the capital and the expected effects of that reduction, sufficient time before the Extraordinary General Assembly, so that the shareholders can vote on the decision to reduce the capital.
The authority cautioned that the authority’s approval of the company’s request to reduce its capital should not be seen as an endorsement of the feasibility of reducing the capital, as the authority’s decision to approve the company’s request means that the statutory requirements have been complied with, according to the Capital Market Law and its implementing regulations.
The CEO of Mikyal Financial Technologies, Hisham Abu Jameh, said in a previous interview with Al Arabiya TV that Atheeb Telecom Company faced problems and is still facing, and for example, in the last quarter of last year it incurred losses of 140 million riyals and in the first and second quarters of 2021, it incurred losses also.