Agility denies $1bn US deal

Kuwaiti logistics provider Agility denied on Monday a newspaper report it was expecting a $1 billion deal from the U.S. army but reiterated its plans to expand abroad.

Agility recently won a string of contracts from the U.S. army to supply troops in Iraq and was part of a group with U.S. firm Dyncorp International obtaining a 10-year $50 billion logistics deal in June.

Agility said on July 7 it had won through a joint venture a two-year U.S. Air Force deal worth 43.6 million euros ($60.14 million).

But the company rejected on Monday in a bourse statement an unsourced report in Kuwaiti daily al-Seyassah that it was anticipating another $1 billion deal with the U.S. Army.

"We told the bourse that the information is not correct," board member Hussein al-Kharafi told reporters on the sidelines of a shareholders meeting.

Agility has said it wants to enter emerging markets and expand abroad to diversify its business and lower its dependence on deals to supply U.S. troops in Iraq and Afghanistan.

"The firm is expanding. There is no doubt the company's revenues are increasing. Now, the concentration is on making good profits in relation to good performance," said Kharafi.

He also confirmed Agility was considering listing abroad.

Shareholders earlier approved a change in the firm's statutes to hike its capital to 95.2 million dinars from 79.3 million dinars through a 20 % bonus share issue.

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