Riyadh – Mubasher: MedGulf Insurance and Reinsurance Cooperative Company’s (MedGulf) Extraordinary General Meeting (EGM) approved on Friday, 22 September to reduce its capital to SAR 400 million from SAR 1 billion.

The capital decrease will be implemented by the end of the second trading day following the EGM, according to a statement on Monday to the Saudi Stock Exchange (Tadawul).

The Saudi insurance firms aims through capital reduction to restructure it in line with article 150 of the new articles of association system of the companies, and to cover the accumulated losses.

The capital reduction will not impact on MedGulf’s financial commitments.

The EGM approved to amend article number 8 of the company’s articles of association in line the capital’s reduction.

Tadawul announced the fluctuation rate of MedGulf’s stock based on a price of SAR 31.60.

Trading on the stock will be suspended, effective Monday, 25 September, until the Securities Depository Center Company (Edaa) reduces the firm’s shares on the investors’ portfolios, by the end of Tuesday, 26 September trading session.

MedGulf’s stock shed 0.39%, closing at SAR 12.64 on Thursday.