Riyadh - Mubasher: The Capital Market Authority (CMA) approved the request of City Cement Company for a 26% capital cut to SAR 1.4 billion from SAR 1.89 billion.

Accordingly, the number of shares will be reduced to 140 million from 189.2 million, according to a bourse filing on Wednesday.

Moreover, the abovementioned decision is subject to the approval of the company’s extraordinary general assembly meeting and completion of regulatory procedures and requirements.

Last November, City Cement said that the capital cut will be financed through its internal resources and loans and noted that the action is likely to have a positive impact on its profitability and performance.