Shareholders of Kuwait’s International Investment Group (IIG) voted on Wednesday to cut the troubled company’s capital by more than half to cover its losses.
The Islamic investment house said in a statement to the bourse that capital would be cut by 55.8 percent to 20.2 million dinars ($70.93 million).
Accumulated losses as of the end of 2009 were $142.9 million, it said.
IIG is one of the Kuwaiti investment houses badly hit during the financial crisis. In July, it was unable to make a $152.5 million Islamic bond payment.
Shareholders also approved a decision not to pay out dividend for 2009.
IIG has appointed KPMG to advise it on restructuring its business after it posted a 2009 net loss of $128.2 million due to a slump in income from investments and fees and foreign exchange losses. (Reuters)
Follow us on
