Saudi Arabian Amiantit CEO says business rescue talks under way
Saudi Arabia -` The
CEO of pipe maker Saudi Arabian Amiantit, Dr. Khalil Kurdi has said that the
company is in negotiations with the government regarding a possible rescue of
the company.
In an EGM, Amiantit’s board recommended to reduce the
capital by 69 percent to reach SR99 million ($26.4 million), and then increase
it later through rights issue amounting to SR221 million.
Kurdi revealed during an interview with CNBC Arabia on
Wednesday that the capital was reduced to halt to the accumulated losses.
The company lacks the necessary liquidity to purchase
production components and could not sell assets owned by it until liquidity
became available, he added.
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