Dubai – Mubasher: The shareholders of Islamic Arab Insurance Company (Salama) have agreed to lower the issued share capital by AED 270.41 million to AED 939.58 million from AED 1.21 billion.

In a bourse disclosure, Salama indicated that the reduction aims to write off accumulated losses worth the capital cut amount as of 31 December 2021.

Meanwhile, the DFM-listed company will utilise AED 101.26 million from the statutory reserves account by cancelling a number of shares equivalent to the same amount.

It is worth noting that the shareholders greenlighted the capital cut during the ordinary general meeting (OGM) that was held on 16 January 2023.

Meanwhile, Salama recently announced plans to take over the insurance portfolio of Dubai Islamic Insurance and Reinsurance Company (Aman) in line with its strategic growth plans.

In the first nine months (9M) of 2022, Salama reported net profits worth AED 25.10 million.