Arab Finance: Asek Company for Mining (Ascom) received the Financial Regulatory Authority’s (FRA) approval to reduce the issued and paid-up capital to EGP 487.024 million from EGP 500 million, according to a bourse filing.
Ascom will cut its capital by EGP 12.975 million through writing off 1.297 million treasury shares, with a nominal value of EGP 10 per share.
The company attributed the transaction to the expiration of the legal period for holding treasury shares scheduled for write-off.
Moreover, the capital reduction aims to increase return on profitability and boost shareholders’ book value.
The board of Ascom recently approved acquiring 90% of Ostool Transport’s shares in exchange for EGP 641 million, equivalent to EGP 8.224 per share.
