Drake & Scull International (DSI) has announced that creditors are set to vote on its restructuring plan by the end of April as the Dubai contracting major prepares to meet with them again on Monday.
The company initially presented its reorganisation plan – alongside experts Aaronite Partners – to creditors last week but will hold a second meeting on Monday, according to a filing to Dubai Financial Market.
DSI said creditors will be asked to vote on the plan “around the end of April”.
In early February, the company said it had returned to full-year profitability in 2020.
The contracting firm said that it recorded a net profit of AED109 million compared to a net loss of AED87 million in 2019.
The company also announced a decrease in accumulated losses from AED5 billion dirhams to AED4.8 billion as of the end of December 2020.
Last year, an application by DSI to have its financial reorganisation process conducted under the supervision of the Financial Reorganisation Committee was approved and in May Aaronite Partners was approved as experts to take this forward.
DSI recorded operating revenue of AED216 million for the year, related to ongoing projects for the group while the backlog remained stable at AED403 million, represented by its ongoing operations in the UAE, Germany, Algeria, Kuwait and Iraq.
Munir Mansour, CEO, confirmed that the company is working on expanding its operations in the field of oil and gas and focusing on completing its project in the city of Al-Zubair in Basra in Iraq and acquiring new projects in Kuwait and Egypt.
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