JEDDAH: Shaker Group plans to slash its capital and then increase it through a rights issue, CEO Mohammed Abunayyan said, as it aims to achieve financial solvency and reduce borrowing rates.
The plan will help the company overcome accumulated losses and raise its market share, Abunayyan told Argaam.
“The company demonstrated solid performance in the third quarter of the year, backed by sales in all segments, especially home appliances,” he said.
“Moreover, its distribution channels saw improvement, thanks to Shaker’s recently announced 2021-23 strategy,” he added.
Shaker Group posted a net profit of SR27.1 million ($7.2 million) for the first nine months of 2021 from SR8.3 million a year earlier. The third-quarter net profit reached SR12 million.