ArabFinance: The extraordinary general meeting (EGM) of Cairo Oils and Soap (COSG) approved the reduction of issued and paid-up capital to EGP 39 million from EGP 195 million, according to a statement filed to the Egyptian Exchange (EGX).

The capital decrease will be carried out through cutting the nominal value of the company’s stock to EGP 0.10 from EGP 0.50, while maintaining the number of issued shares unchanged at 390 million ordinary shares.

Moreover, the EGM agreed on cutting the company’s authorized capital to EGP 195 million, instead of EGP 975 million.

The EGM also approved raising the issued capital once the capital cut process is complete.

Accordingly, the issued capital will increase to EGP 234 million from EGP 39 million by EGP 195 million distributed over 1.95 billion shares at a nominal value of EGP 0.10 per share.

Hence, Articles 6 and 7 of the company’s Articles of Association will be amended.

Additionally, the EGM approved raising the authorized capital to EGP 1.17 billion.

The EGM also agreed on appointing Baker Tilly Wahid Abdel Ghaffar and Co as the legal accountant and advisor to study the fair value (FV) of Cairo oils and Soap’s stock.

Cairo Oils, a subsidiary of the Holding Company for Food Industries, is an Egypt-based holding company engaged in the manufacture, processing, packaging, import, export, and distribution of different types of seeds for the production of oil and soap.

The company primarily uses cotton seeds and soya beans for processing and producing cooking oil, soap, and detergent products under several brands.