Saudi Re gets CMA nod on capital cut

Saudi Re for Cooperative Reinsurance Co. (Saudi Re) has obtained approval from the Kingdom’s Capital Market Authority (CMA) to reduce capital by 19 percent to SAR 810 million, from SAR 1 billion, the market regulator said in a statement.

The capital cut is pending approval from the company’s extraordinary general assembly.

Saudi Re’s board of directors last month amended its capital cut recommendation to SAR 810 million from SAR 804 million, after the company narrowed its accumulated losses as of Sept. 30.

The move aims to restructure capital to offset accumulated losses and support future growth.