Chemanol fully offsets accumulated losses after capital cut

Logo of Chemanol

Methanol Chemicals Co.’s (Chemanol) accumulated losses dropped to zero as of June 28, after shareholders agreed at the extraordinary general meeting (EGM) to reduce capital.

The company said in a bourse filing today, July 8, that as a result of profits achieved in Q1 2021, the company’s retained earnings now represent 2.51% of the new capital.

In June, Chemanol shareholders approved a 44% capital cut to SAR 674.51 million from SAR 1.21 billion to restructure the company’s capital and offset accumulated losses, according to data compiled by Argaam.