‎SVCP shareholders approve 69.7% capital cut

Shareholders of Saudi Vitrified Clay Pipes Co. (SVCP) approved a 69.71% capital reduction, from SAR 150 million to SAR 45.43 million, during the extraordinary general meeting (EGM) held on Oct. 22.

The move aims to restructure the company’s capital and write off accumulated losses, according to a Tadawul statement.

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Capital reduction details

Current capital

SAR 150 mln

No. of shares

15 mln

Capital after reduction

SAR 45.43 mln

No. of shares after reduction

4.54 mln

Reduction percentage

69.71%

Reason for reduction

Restructuring the company’s capital to write off SAR 104.57 mln in accumulated losses

Effective date

Oct. 22, 2026, for shareholders registered with Edaa at the end of the second trading day following the EGM

Reduction method

Cancellation of 10.46 mln shares, equivalent to 0.69714167 shares for each share held

SVCP said the capital reduction would have no impact on its financial obligations, operations, or financial, operational or regulatory performance.

Meanwhile, the Saudi Exchange (Tadawul) stated that SVCP share price fluctuation limits would be calculated based on a price of SAR 48.10, and all outstanding orders would be canceled.

The company’s shares will be suspended for two business days starting today, Oct. 25, in accordance with the listing rules.

Edaa will apply the share reduction to shareholders’ investment portfolios, and trading in SVCP shares will resume at the end of Oct. 26.

According to Argaam data, the company’s accumulated losses reached SAR 104.57 million in H1 2026, representing 69.71% of its capital.

Shareholders of Saudi Vitrified Clay Pipes Co. (SVCP) approved a 69.71% capital reduction, from SAR 150 million to SAR 45.43 million, during the extraordinary general meeting (EGM) held on Oct. 22.

The move aims to restructure the company’s capital and write off accumulated losses, according to a Tadawul statement.

Capital reduction details

Current capital

SAR 150 mln

No. of shares

15 mln

Capital after reduction

SAR 45.43 mln

No. of shares after reduction

4.54 mln

Reduction percentage

69.71%

Reason for reduction

Restructuring the company’s capital to write off SAR 104.57 mln in accumulated losses

Effective date

Oct. 22, 2026, for shareholders registered with Edaa at the end of the second trading day following the EGM

Reduction method

Cancellation of 10.46 mln shares, equivalent to 0.69714167 shares for each share held

SVCP said the capital reduction would have no impact on its financial obligations, operations, or financial, operational or regulatory performance.

Meanwhile, the Saudi Exchange (Tadawul) stated that SVCP share price fluctuation limits would be calculated based on a price of SAR 48.10, and all outstanding orders would be canceled.

The company’s shares will be suspended for two business days starting today, Oct. 25, in accordance with the listing rules.

Edaa will apply the share reduction to shareholders’ investment portfolios, and trading in SVCP shares will resume at the end of Oct. 26.

According to Argaam data, the company’s accumulated losses reached SAR 104.57 million in H1 2026, representing 69.71% of its capital.