Wafa shareholders to discuss capital cut May 21

Saudi Indian Company for Cooperative Insurance (Wafa Insurance) shareholders will discuss on May 21 the board’s recommendation on decreasing capital by 40.49 percent to SAR 122 million from SAR 205 million.

The capital reduction will be made through cancelling 8.3 million shares, or 1.215-for-3 shares, the insurer said in a statement to Saudi bourse, Tadawul.

The capital cut is aimed at restructuring capital to offset accumulated losses.

Shareholders will approve the board of directors’ report, an audit report and consolidated financial statements for 2016.

Shareholders will also discharge board members from liability associated with their activities in 2016, and select an external auditor for 2017.

Shareholders will also endorse SAR 300,000 in board bonuses for 2016.