"Arabtec" Holding Company ("Arabtec" or "the company") decided, in a general assembly meeting held today, that it will submit a request to the competent court as soon as possible to declare the company bankrupt and liquidate it.
The company stated in a statement that, that this decision was reached after the lapse of two months of discussions with the main stakeholders, based on the decision taken by the shareholders at the General Assembly meeting held on September 30, 2020.
The Board decided that it is no longer possible for the company to continue operating without entering into formal insolvency procedures, and that it has become in the interest of the stakeholders of the company to place the company under liquidation due to bankruptcy (subject to court approval) as soon as possible.
In view of the existence of links between some of the company’s subsidiary companies, the application submitted to the courts will include that “Arabtec Construction”, “Arabtec Construction” Company, Arab Austrian Ready Mix Concrete Company, and “Arabtec Precast” (collectively referred to as the affected companies ), Under liquidation at the same time.
At the present time, no application will be submitted to the competent courts regarding other companies affiliated with the company.
Pending the appointment of an insolvency agent, the company will continue to engage with the main stakeholders with the aim of searching for options that allow preservation of value, and making efforts as much as possible to avoid subjecting these subsidiaries to formal procedures for declaring bankruptcy due to insolvency.