Hospitality giant Alhokair’s board proposes 46% capital cut

RIYADH: The board of one of Saudi Arabia’s largest hospitality firms, Abdulmohsen Alhokair Group for Tourism and Development, has proposed a 46-percent capital cut.

Subject to shareholders’ approval, the plan includes reducing the company’s share capital from SR650 million ($173 million) to SR350 million, according to a bourse filing.

The move is to “amortize 98 percent of accumulated losses,” the company said.

Yaqeen Capital has been appointed as a financial advisor to manage the capital reduction process and all related procedures.