Riyadh - Mubasher: The board of Saudi Indian Company for Cooperative Insurance (Wafa Insurance) has recommended reducing the company’s capital by 40.49% from SAR 205 million to SAR 122 million.

The capital will be reduced by 1.215 shares for every 3 shares, with a total of 12.2 million shares, the company said in a statement to the Saudi Stock Exchange (Tadawul) on Monday.

Wafa’s board of directors attributed the decision to restructuring the company’s capital in order to offset some losses, with the aim of supporting future growth.

The capital cut will have no effects on the company’s financial obligations, the statement indicated.