Saudi marketing firm Tihama to close business unit due to losses
Saudi Arabia-listed Tihama Advertising, Public Relations and Marketing Company is set to exit a business unit as part of a corporate cleanup amid its accumulated losses.
The marketing firm’s board of directors on Tuesday approved the proposal to start the liquidation procedures for Tihama Education, in accordance with the bankruptcy rules.
The fully-owned subsidiary has a paid-up capital of SAR 200,000.
Tihama said the liquidation is ‟due to accumulated losses, default on payments to creditors and the liabilities exceeding the company’s assets.”
For the first six months of the year, the company reported more than SAR 22 million in losses, up from SAR 6.9 million in net losses a year ago.
(Writing by Cleofe Maceda ; editing by Seban Scaria) seban.scaria@lseg.com
