Dubai-Based Arabtec Holding to File for Liquidation As Losses Pile Up

Dubai-Based Arabtec Holding to File for Liquidation As Losses Pile Up

Construction firm Arabtec Holding will file for liquidation because of heavy financial losses following the outbreak of Covid-19.

The company's shareholders on Wednesday approved the board's plan to liquidate.

Shareholders also authorised Arabtec to appoint AlixPartners and Matthew Wilde, or any other person or persons the board considered fit, as liquidator, news agency Reuters said citing sources.

"Unfortunately, against a backdrop of adverse market conditions, we regret to inform you that Arabtec shareholders voted to adopt a plan of liquidation and dissolution due to the company's untenable financial situation," the company said in a statement.

Arabtec Holding posted a Dh774.5 million net loss in 2019, citing weaker income from its construction business amid tighter liquidity in the construction sector.

The company is also in the process of appointing an advisor to work on capital and