| Element List | Explanation |
|---|---|
| Introduction | Reference to Methanol Chemicals Company’s (Chemanol) announcement published on the Tadawul website on 17/04/1447 H corresponding to 09/10/2025 regarding the Board of Directors’ recommendation to reduce the Company’s capital, and its subsequent announcement published on 05/07/1447 H corresponding to 25/12/2025 amending the capital reduction recommendation, the Company announces that it has submitted the capital reduction application file to the Capital Market Authority (CMA) on Sunday 15/07/1447 H dated 04/01/2026. |
| Date of Submitting the Application File to CMA | 2026-01-04 Corresponding to 1447-07-15 |
| Application Subject | Reducing the Company's capital by cancelling 52,450,863 shares, at a rate of 77.8% for each share, with the aim of addressing the Company’s accumulated losses, which amount to 85.7%. This will be achieved by restructuring the Company’s capital to extinguish an amount of five hundred seventy‑seven million nine hundred ten thousand seven hundred ninety‑two (577,910,792) Saudi Riyals, instead of five hundred thirty‑five million five hundred forty‑seven thousand eight hundred sixty‑eight (535,547,868) Saudi Riyals. |
| Date of Announcing Board Recommendation to Decrease the Company’s Capital on Saudi Exchange’s Website | 2025-10-09 Corresponding to 1447-04-17 |
| Additional Information | The Company will utilize an amount of fifty‑three million, four hundred two thousand, one hundred sixty‑two (53,402,162) Saudi Riyals from the statutory reserve (which represents 59.9% of the total reserve) to cover the remaining portion of the accumulated losses. The reduction of capital is subject to the approval of the regulatory authorities and the approval of the company’s Extraordinary General Assembly. The company will announce any material developments in due course in accordance with the relevant laws and regulations. |
