Fitaihi Holding Group announces its Board's Recommendation to reduce the Company's Capital (being over the Company's need)
|Introduction||The board of directors of Fitaihi Holding Group recommended to reduce the Company's capitl as follows:|
|Date of Board Meeting||2021-03-04 Corresponding to 1442-07-20|
|Capital before decrease||550,000,000|
|Capital after decrease||275,000,000|
|Percentage of Capital decrease||50 %|
|Number of Shares before Decrease||55000000|
|Number of Shares after Decrease||27500000|
|Reasons for the Capital Decrease||The capital is over the Company’s needs.|
|Method of Capital Decrease||Canceling 50% of the number of shares and compensating the shareholders for that.|
|Impact of the Capital Decrease on the Company's Obligations, Operations or Operational, Financial or Organizational Performance of the Company||The reduction process will be funded by using the surplus cash balances of the Company with the announcement of all the details through the Shareholders’ Circular following the procedures. |
There will be no material impact of the capital reduction on the Company's financial or operating obligations, operations, or performance.
The management expects the reduction to have a positive impact on the ratios of the Company's performance and profitability indicators.
|Date of reduction||The End of the Second Trading Day after the Extra Ordinary General Assembly Meeting in which Decrease was Resolved|
|Approvals||The reduction process of the capital and the number of shares is conditional on the approval of the official authorities and the extraordinary general assembly of the Company.|
|Appointment of a Financial Advisor and the Submission of the Application for Capital Decrease to CMA||The appointment of the financial advisor for the reduction process will be announced later on, as well as the announcement of the application file submission for capital reduction to the Capital Market Authority for approval, in addition to any other substantial developments.|
The Capital Market Authority and the Saudi Stock Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.