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Sun 2 Aug 2015 07:06 PM

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Saudi regulator says Mobily's shares to resume trading on Aug 3

Mobily's shares have been suspended since June pending its response to an investigation by CMA into accounting scandal at the company

Saudi regulator says Mobily's shares to resume trading on Aug 3

Shares in Saudi Arabia's Etihad Etisalat (Mobily) will resume trading on Riyadh's bourse on Monday after the troubled telecom operator posted its financial results, the stock market regulator said in a statement.

Mobily's shares have been suspended since June pending its response to an investigation by the Capital Market Authority into an accounting scandal at the company.

Mobily on Sunday announced it had swung to a second-quarter net loss of 900.9 million riyals ($240.2 million) after it took additional provisions relating to a dispute with rival mobile operator Zain Saudi.

On Thursday, Mobily restated its results for the 27 months to March 31, slashing total profits over the period by nearly 1.76 billion riyals in its latest attempt to clean up its books, with the firm making further changes to the way it accounts for some contracts and the depreciation of property and equipment.

Mobily's shares have been suspended since June. The stock is down 58 percent since the accounting scandal broke, wiping about $9.4 billion off the company's value.

Since the accounting scandal broke last November, Mobily has attributed its woes to the premature booking of revenue from wholesale broadband leases and mobile promotional campaigns.

The company's largest shareholder is Abu Dhabi-listed Etisalat.

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