Saudi Enaya faces termination if EGM not held by April 30

Saudi Enaya Cooperative insurance Co. (Enaya) will face termination by April 30 under the Saudi Companies Law if it fails to hold an extraordinary general assembly meeting within 45 days from the date its board of directors were informed of losses, the company said in a bourse filing on Sunday.

Shareholders are set to vote on a 50% capital cut to offset accumulated losses during the extraordinary general meeting (EGM) on April 22.

In January, the board of directors recommended capital reduction to SAR 150 million from SAR 300 million in order to offset losses.

Shareholders can vote through Tadawulaty system, as per the Capital Market Authority’s (CMA) circular issued on March 16, in line with the government’s efforts to prevent the spread of coronavirus.