CMA nods for Saudi Vitrified Clay’s capital cut

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Riyadh — Mubasher: The Capital Market Authority (CMA) has issued its approval for a request from Saudi Vitrified Clay Pipes Company to reduce its corporate capital from SAR 150 million to SAR 45.43 million.

Under the approved plan, the total number of the company's outstanding shares will be reduced from 15 million shares to 4.54 million shares.

The regulatory approval is conditional upon the company obtaining further consent from its shareholders during an upcoming extraordinary general assembly meeting.

Saudi Vitrified Clay is also required to complete all related legal procedures and regulatory requirements to finalize the transaction.

Prior to the scheduled assembly, the company will publish a detailed report outlining the proposed method for the capital reduction and its expected impact on operations.

This disclosure is intended to provide shareholders with sufficient information to cast their votes on the resolution.

The CMA noted that its approval signifies compliance with the Capital Market Law and its executive regulations, rather than an endorsement of the commercial feasibility of the capital restructuring.

Source: Mubasher Source: {{details.article.source}}