Riyadh – Mubasher: The board of Etihad Atheeb Telecommunication Company (GO) recommended a capital cut by 34.8% to amortise about SAR 122 million or 67.4% of the total accumulated losses.

The new capital will reach SAR 228.5 million from SAR 350.5 million, according to a bourse statement on Thursday.

Following the reduction, a total of 12.2 million shares will be cancelled; this equals one share for every 2.87 shares.

On 19 January, the telecom firm revealed that the accumulated losses reached SAR 180.98 million, representing 51.6% of the company’s capital.

Moreover, the transaction will have no material impact on the company’s liabilities.

The decision will be effective at the end of the second trading day following the extraordinary general meeting (EGM), which will approve the decision. The EGM date will be determined later on.

Any further details in this regard will be announced in a timely manner, GO added.

Source: Mubasher

All Rights Reserved - Mubasher Info © 2005 - 2020 Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.