The Saudi court approves the financial reorganization proposal of the Algosaibi Group

An official source from Ahmed Hamad Al-Gosaibi and Brothers Group told Al Arabiya that the commercial court in Dammam approved the proposed reorganization of the financial system of the Al-Gosaibi group on Wednesday morning.

Ahmed Hamad Al-Gosaibi and Brothers Group Chief Operating Officer Raef Al-Hassan confirmed in a previous interview with Al-Arabiya that 94% of Al-Gosaibi Group creditors had agreed on the debt restructuring plan with a 74% discount, revealing that “the process for initiating the payment will take place as soon as the plan it will be approved by the Court ».

Al-Hassan said the plan is in waiting for the presentation of the results for approval by the bankruptcy trustee Bader Al-Tamimi to be officially approved, to enter in force and the company to start paying creditors to Saudi, Gulf and foreign banks.

He attributed the achievement of this step after more than 12 years to recent developments that have facilitated the completion of a task that “has been described as almost impossible”, and one of the most important developments is the introduction of bankruptcy and restructuring laws. in Saudi Arabia .

He specified that there are 600 million dollars worth of properties, while the portfolio of the group can be liquidated in the coming months, with the aim of making the payment as soon as possible to creditors, and there will be an official announcement by the company if the plan is approved and the results of the vote by the court.

Al-Hassan described the current plan before the court as “inclusive of all requirements and the group is looking forward to advancing their business, rebuilding and contributing, as in past, to the local economy “.

He revealed that the asset provided for in the restructuring plan “represent over 90% of the total asset of the company, but the company has operating groups for many years and projects within the Kingdom, and therefore the management of the company looks forward to the progress of the business and rebuild again, in the company’s business sectors such as oil and services. “

He said the group’s wallet is local within the Kingdom, and the money is part of it, and the details will be announced after the plan is approved by the court.

The creditors of the Al-Gosaibi group voted to approve the debt settlement proposal, in on the basis of which the Saudi group will pay $ 1.9 billion to its creditors.

Read More About: Business News

Leave a Reply