Aslak to deposit compensation from shares write-off after capital cut on Sept. 20

United Wire Factories Co. (Aslak) will deposit the compensation amounts from writing off shares, as a result of the reduction in the company's capital, for eligible shareholders on Sunday, Sept. 20, 2020.

The company said in a bourse statement that it will deposit the amount directly in the bank accounts of the eligible shareholders that are linked to their investment portfolios.

The company also highlighted the importance of updating the shareholder bank data, in order to protect their rights.

In the event that the compensation amount is not received, any shareholder of the company can contact the head office or shareholder relations.

In a separate bourse statement, the Securities Depository Center (Edaa) announced implementing securities quantity decrease on the portfolios of eligible securities’ holders as of today, Sept. 16, 2020.

In July, Aslak shareholders approved a 20% capital cut to SAR 351 million from SAR 438.75 million on having a capital surplus, according to data compiled by Argaam.

The stock is suspended for two business days starting from Sept. 14, 2020 until Edaa reflects shares reduction on investors’ portfolios.