Saudi Fisheries Company (SFC) has been given the greenlight from the Saudi Arabian Capital Markets Authority to raise SAR 340 million (USD 89.9 million, EUR 76.5 million) through a rights issuance as the seafood firm pursues additional measures in turning around its poor financial performance.
In a recent statement to the Saudi Stock Exchange, SFC said it received the approval after "the company fulfilled all the observations and requirements related to the capital increase file,” adding that the approved rights issue plan will be subject to the approval of shareholders at an extraordinary general meeting.
This comes as SFC recently announced a 100 percent decline in sales for the three months ending 31 March compared to the same period in 2025. The firm attributed the drop to “the suspension of retail and wholesale sales activities, as part of an ongoing assessment of the company’s position and a broader restructuring initiative.”
The assessment aims to grant the firm’s board of directors and shareholders an opportunity to review current “operational strategy and focus on core activities with higher economic viability, which is expected to reduce financial burdens and enhance the efficiency of the company’s financial position,” SFC said.
SFC’s accumulated losses at the end of Q1 were estimated at SAR 18.9 million (USD 5 million, EUR 4.26 million), which was equivalent to 28.2 percent of the company's capital. This was an improvement from 2025, when its liabilities exceeded its assets by SAR 67.5 million (USD 17.8 million, EUR 15.2 million).
Besides the rights issuance, other turnaround efforts SFC has pursued include completing the sale of a 51 percent controlling stake in its wholesale and retail fish and shrimp trading subsidiary Al-Haridha National Aquaculture to the Saudi Arabian Rubyan Aquaculture (SARA) National Trading Company.
The transaction, which includes transferring the Al-Haridah project's land lease, licenses, assets, and related contracts, is valued at SAR 33.2 million (USD 8.8 million, EUR 7.6 million).
The sale, SFC said, “reduces operational burden on Saudi Fisheries by transferring liabilities and risk associated with the aquaculture project to a partner with dedicated expertise.”
