GIH approves stock delisting from Kuwait bourse

  • Share via facebook
  • Tweet this
  • Bookmark and Share
A Kuwait dinar banknote.

A Kuwait dinar banknote.

Shareholders in Kuwait's Global Investment House have approved the delisting of the stock from the Kuwait bourse, nearly a year after firm's shares were suspended from trading.

"(The general assembly) agreed to authorise the board of directors to cancel the listing of the company on the Kuwait Stock Exchange," a stock market statement said on Sunday, following a board meeting.

Global's shares have not traded in Kuwait since last December, when the bourse suspended the stock after Global accumulated losses exceeding 75 percent of its capital.

Last month, the firm said it would ask shareholders to approve delisting its shares from the bourse after failing to secure the regulatory waiver needed to implement its restructuring plan.

Global shareholders in September approved a debt-for-equity style plan to create new special purpose vehicles to carry the company's debt. Under the plan, Global will offer new shares worth 122.2 million dinars ($433 million) to creditors.

However, Global said on Monday it had been unable to get an exemption to rules requiring it to allow existing shareholders to take part in any new equity offering.

Global, whose major shareholders include the governments of Kuwait and Dubai, is undergoing a second restructuring in three years after the company asked creditors in September 2011 to suspend payments under a $1.7 billion debt plan agreed in 2009.

Global's shares are also listed in Dubai, Bahrain and London, the latter through global depositary receipts.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Public pressure grows on Gulf sovereign funds with cheap oil

Public pressure grows on Gulf sovereign funds with cheap oil

SWF managers face growing pressure from politicians and the public...

Gulf banks increase lending footprints in Asia, Africa

Gulf banks increase lending footprints in Asia, Africa

There's an emerging trend in international capital markets: the...

Some banks win, some lose in Dubai's 'Islamic economy'

Some banks win, some lose in Dubai's 'Islamic economy'

Dubai's gov't announced plans to turn the emirate into a global...

Most Popular
Most Discussed