In the largest capital reduction in the history of Saudi-listed companies, the Saudi Printing and Packaging Company has announced the launch of procedures to cut its capital by 89.42% in an effort to avoid insolvency and possible closure.
The Saudi Printing and Packaging Company is considered one of the Kingdom’s major national enterprises, responsible for printing much of the country’s newspapers, official publications and government materials. It also holds contracts with state ministries, government-owned companies and publishing houses.
The Saudi Research and Media Group (SRMG) owns 70% of the troubled company’s shares.
The financial crisis comes shortly after reports that SRMG transferred £648 million to support an Iranian television channel broadcasting from London.
