SIECO files for capital cut, rights issue with CMA

Logo of Saudi Industrial Export Co.

Saudi Industrial Export Co. (SIECO) submitted a request to the Capital Market Authority (CMA) to approve a capital cut followed by a capital increase, according to a bourse filing.

The capital reduction and capital increases are subject to the relevant statutory approvals, including the approval of the company's extraordinary general assembly.

Any future developments in this regard will be disclosed in due course.

The firm also appointed Alkhair Capital as a financial advisor to manage the capital reduction and increase requests.

SIECO’s board of directors recommended, in November 2020, increasing capital via a SAR 129.6 million rights issue, Argaam reported.

Meanwhile, the board proposed last December amending its previous recommendation to reduce capital by 66.66%, from SAR 64.80 million to SAR 21.6 million, to be followed by a capital increase by 800% from SAR 21.6 million to SAR 194.4 million via a rights issue.

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