Commercial Companies Law

Article 204 — Article (204) Capital Reduction

Part Four: Public Joint Stock Companies · Chapter Four: Capital of Public Joint Stock Company

The Capital of the Company may not be reduced without the prior consent of the SCA and the issuance of a Special Resolution after hearing the report of the auditor. The Capital may be reduced in either of the following cases: 1. If it exceeds the needs of the Company; 2. If the Company has incurred a loss that cannot be recouped through future profits.

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