Wednesday, Feb 29, 2012
(This story was originally published on Tuesday.)
BEIRUT (Zawya Dow Jones)--Oman's Renaissance Services said Tuesday it will seek shareholder approval to issue convertible bonds worth 40 million Omani rials ($103.9 million), as the Muscat-based firm looks to bolster its capital after a turbulent 2011 that saw earnings slump amid problems at its Topaz subsidiary.
The bond proposal will be presented to shareholders for approval at an extraordinary general meeting slated for Mar. 25, the multiline company said in a statement posted on the Muscat bourse website.
Earlier this month, Renaissance said net profit fell 93% to 2.29 million Omani rials ($5.93 million) in 2011 as it wrote off OMR3.1 million on Topaz IPO expenses and OMR6.2 million related to various matters in Topaz's engineering operations.
Topaz is Renaissance's Dubai-based oilfield services business, which pulled plans for a $500 million London listing in 2011 following charges of financial misconduct at the company.
Renaissance in September said that an independent investigation into financial misconduct at Topaz found it was an isolated case and the amount involved has been fully provided for in its accounts.
Renaissance shares last traded 4.1% higher at OMR0.64 in a broadly higher Muscat market.
-By Shikrallah Nakhoul, Zawya Dow Jones, +961 1 985757, shikrallah@zawya.com
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
29-02-12 0352GMT
