DAMMAM: Al-Mojil Investment Ltd. has offered Mohammad Al-Mojil Group (MMG) an interest-free subordinated loan of SR100 million.
According to an MMG spokesperson, the loan will support the company's operations and strengthen its cash flow. The board of directors of MMG, which met at the company's headquarters in Dammam on Sunday, approved the deal. The board has also approved the appointment of one of the local banks as its financial adviser which will lead and support the company in its debt restructuring and coordination with the banks.
The MMG board also approved the setting up of a steering committee that will help and support the executive management in restructuring of the company. The committee will consist of board members and independent experts from outside the company with vast experience in this field.
To fill the vacant positions on the board, the appointments of Abdullah E. Al-Dabbagh and Osama Asad were also approved. Al-Dabbagh has vast experience having worked in top executive positions. He was CEO of Maaden, a post that he relinquished recently. He, however, continues to be the board member of Maaden as well as chairman of Maaden Phosphate. He was also director of the Research Institute at King Fahd University of Petroleum and Minerals. Osama Asad has 15 years of experience in the banking and investment sectors. He has provided consultations to several companies in the Kingdom and abroad.
MMG board hoped that these measures will strengthen the company's position which will eventually reflect on the interest of stakeholders.
© Arab News 2012
