Amiantit’s accumulated losses reach 64.22% of capital

Logo of Saudi Arabian Amiantit Co. 

Saudi Arabian Amiantit Co. on Thursday said that the deadline to convene the extraordinary general assembly (EGM) will be Sept. 21, 2021, in order to address the accumulated losses as per Article 150 of the companies’ law.

On March 25, the board of directors was informed that accumulated losses reached 64.22% of capital. The board can invite shareholders to attend the EGM until May 24.

According to Royal Order no. 15016 on 16/03/1442 H, regarding the holding of perusing some clauses of the companies’ law issued by Royal Decree No. (M/3) on 28/01/1437 H, the paragraph No2 of article No 150 of Companies’ Law dictates that in case on non-conveying the extraordinary assemble within 180 days from the date of it came to the knowledge of board of directors regarding the accumulated losses ( which will expire 21/09/2021), or in case the general assemble not resolved the subject matter, the company will be lapsed by the force of the law.

On Nov. 2, 2020, a royal order has been issued to suspend the paragraph no2 of Article 150 of companies’ law, regarding “The company will face termination in case it fails to convene EGM within 180 days from the date its board of directors were informed of losses or fails to arrive at a decision at the EGM”.