Wafa Insurance receives judgement on financial restructuring proposal

Saudi Indian Company for Cooperative Insurance (Wafa Insurance) received, on Nov. 9, the document of final judgement on financial restructuring from Riyadh Commercial Court, according to a bourse statement.

Accordingly, the first payment will be made to creditors on Dec. 27, 2020 as per the approved proposal, in coordination with the financial reorganization secretary, appointed by the court.

The payment of creditors' dues starts after the company's capital hike, as per the financial restructuring plan. However, the great efforts of the board of directors and executive management to collect the company's debts and dues supported the insurer's financial position and allowed it to pay the first instalment.

The board of directors confirmed its commitment to the financial restructuring plan through paying the creditors' dues, raising the company's capital and boosting its business.

In April, Wafa Insurance announced that the financial restructuring plan was approved the Commercial Court in Riyadh, according to data compiled by Argaam.

In early March, 78.73% of creditors approved the financial reorganization procedure.