Riyadh — Mubasher: Saudi Vitrified Clay Pipes Company has submitted a formal application to the Capital Market Authority (CMA) on 20 August 2026 to reduce its share capital, according to a bourse filing.

The filing follows a board of directors’ recommendation initially issued on 21 July 2026 that was subsequently amended on 16 August 2026.

Under the proposal, the company intends to decrease its capital from SAR 150 million to SAR 45.42 million.

The restructuring will be executed by canceling 10.45 million ordinary shares, representing a total value of SAR 104.57 million.

Saudi Vitrified Clay stated that the primary objective of the capital reduction is to restructure the company’s financial position and extinguish accumulated losses amounting to SAR 104.57 million.

The transaction remains subject to the approval of the CMA and other relevant regulatory bodies, as well as the endorsement of the company’s extraordinary general assembly (EGM).

Following the capital reduction, the company previously indicated plans to increase its capital through a rights issue.

Saudi Vitrified Clay Pipes stated it will provide further updates on the regulatory process as they become available.