Riyadh – Mubasher: Etihad Atheeb Telecommunication (Go) on Thursday said that the company’s shareholders had approved a 25.81% capital reduction to SAR 350.53 million from SAR 472.5 million during an extraordinary general meeting (EGM) held the previous day.
The capital cut aims to amortise 50% of its accumulated losses at a value of SAR 121.97 million by writing off 12.197 million shares, according to a bourse filing.
The capital reduction will be implemented by the end of the day following the EGM date, the Saudi telecom operator stated, adding that the decision will not impact its financial commitments.
The company’s shareholders also nodded to amend some of its articles of association during the EGM.
The Saudi Stock Exchange (Tadawul) calculated fluctuation limit for Go’s stock on a basis of SAR 7.21.
Tadawul further noted that the Securities Depository Center Company (Edaa) will implement the capital reduction’s decision on the portfolios of Go shareholders on Monday, 29 April.
In March, Go announced that its board of directors recommended reducing the company’s capital by 25.8% to amortise accumulated losses of SAR 243.94 million, representing 51.63% of its capital.
The Saudi Capital Market Authority (CMA) approved in April Go’s request to reduce its capital to SAR 350.53 million from SAR 472.5 million.
