Dubai – Mubasher: Arabtec Holding has set a three-year plan including the disposal of non-core assets, according to a statement.
The company plans to secure the annual backlog of new projects of at least AED 8 billion to AED 9 billion in 2018, and targets to resume dividend distribution in 2019.
Arabtec will implement the recaptalisation programme through rights offering to raise AED 1.5 billion. As a result, the company’s capital is likely to rise to AED 6.1 billion.
The programme includes the reduction of the company’s share capital via the cancellation of up to 4.5 billion shares to extinguish its entire accumulated losses.
Arabtec will also raise AED 1.5 billion in equity via a fully-committed rights offering.
The company intends to finalise key terms of the programme towards the end of March 2017 in conjunction with releasing its audited accounts of fiscal year 2016.
The shareholders’ meeting will be held in April to provide details on the structure of the programme and to vote on resolutions.
The company’s stock fell 0.6% to AED 0.897, generating AED 12.36 million from the exchange of 13.74 million shares through 280 transactions.
