Red Sea Announces Decrease of its Accumulated Losses to 0% of Capital

Red Sea International Company announced the reduction of its accumulated losses to 0% of the capital by writing off the total accumulated losses as on 31-03-2022 amounting to SR297.6 million, which represents 49.61% of the Company’s capital.

The Company showed that the reasons for the decrease in accumulated losses are due to the reduction of the Company’s capital through cancellation of 29,765.000 shares to extinguish the accumulated losses based on the approval of the Extraordinary General Assembly held on 24-07-2022

The Company pointed out that accumulated losses have reached SR297,656.000 as on 31-03-2022, which represents 49.61% of the Company’s capital of SR600 million. As on 30-06-2022, the accumulated losses amounted to SR345.67 million, which represents 57.61% of the Company’s capital of SR600 million. On 24-07-2022, the Extraordinary General Assembly approved the reduction of the capital by 49.61%, to SR302,344.000 and thus the percentage of accumulated losses was reduced to 15.78% of the capital after the reduction.