DUBAI, 20th 2017 (WAM) Drake & Scull International PJSC (DSI), a regional engineering and services leader announced today, that it will proceed with the final preparations to secure the approval of the Securities and Commodities Authority (SCA) to initiate the 75% share capital reduction.
The Company is preparing to fulfil the regulatory requirements to initiate the share capital reduction and to subsequently effectuate the cancelation of 1,714 million shares to extinguish its total accumulated losses attributed to the owners of the parent. The latest developments represent a critical progress in the capital restructuring program that will enable the Company to resolve its liquidity challenges and to execute its turnaround strategy to stabilize the business and to pursue its growth objectives in the regional MEP sector. Feras Kalthoum, Acting CFO, Drake & Scull International PJSC, commented: "This is a major milestone in our turnaround strategy announced at the outset of the fiscal year 2017." "We are proceeding with the preparations at full speed to secure SCAs approval and to initiate the share capital reduction to strengthen our balance sheet and to achieve the strategic objectives of our capital restructuring program." "I am confident that by the end of Q3 2017 we will complete our program and we will generate substantial liquidity to reinvigorate our operations and most importantly to secure high-margin projects in the MEP sector mainly in our home market the UAE."Copyright Emirates News Agency (WAM) 2017.
