Latest news with #capitalreduction
Bloomberg
a day ago
- Business
- Bloomberg
EU Eyes Capital Relief for Insurers to Spur Asset-Backed Market
The European Commission is considering reducing the capital that insurers must hold against investments in asset-backed securities, part of a broader effort to revive a €1.2 trillion ($1.4 trillion) market that can finance areas like housing, energy, and defense. The reduction would be as much as 40% in some cases, according to a document being discussed with a panel of experts, with the size of the cut depending on the credit rating and whether the transaction complies with a framework for securitizations.
Argaam
21-05-2025
- Business
- Argaam
Tihama submits capital cut request to CMA
Tihama Advertising and Public Relations Co. submitted on May 20 an application to the Capital Market Authority (CMA) for approval to reduce its capital by SAR 226.02 million, according to a statement to Tadawul. The capital decrease is subject to the applicable regulatory approvals, including the approval of the company's extraordinary general assembly. The company will announce any future developments in this regard later, the statement added. In March, Tihama's board of directors recommended a 43.5% capital cut to SAR 226.02 million from the current SAR 400 million to restructure capital to amortize accumulated losses, Argaam reported.
Reuters
08-05-2025
- Business
- Reuters
Malaysia's Capital A shareholders approve up to $1.4 billion capital reduction
May 8 (Reuters) - Malaysia's Capital A ( opens new tab, which owns airline AirAsia, said on Thursday its shareholders and debtholders approved a capital reduction plan of up to 6 billion ringgit ($1.4 billion), as the company aims to shrug off its 'financially distressed' tag. Capital A was severely impacted by pandemic-era travel curbs and its equity declined to below 50% of subscribed capital, due to which it was designated as a 'PN17' financially distressed entity by Malaysia's stock exchange in 2022. Last month, the company announced the capital reduction plan to bolster its balance sheet and offset losses, which amounted to 475.1 million ringgit last year. Capital A said it will seek the country's high court's confirmation for the capital reduction plan, and that is on track to exit the PN17 status by the middle of this year. Besides the capital reduction, Capital A's proposed regularisation plan includes divesting its aviation business to long-haul affiliate AirAsia X ( opens new tab, which shareholders have already approved. This will help the company pivot toward non-aviation ventures, with a strategic focus on expanding its digital services and logistics operations. ($1 = 4.2650 ringgit)
