The decision was taken after the court appointed a panel to analyse the bankruptcy application….reports Asian Lite News
Arabtec Holding’s bankruptcy plea has been accepted by a Dubai court. The construction company behind iconic structures such as the Burj Khalifa and the Louvre Abu Dhabi, had submitted a petition to the court, following the company’s former group CEO Wail Farsakh’s resignation in February 2021.
The decision was taken after the court appointed a panel comprising seven experts to analyse the bankruptcy application.
In a statement to Dubai Financial Market (DFM) on Monday, the company said that the court has appointed a trustee for each entity, to publish the bankruptcy decision of each one, review its debts, deposit a list and a record of its creditors and “conduct all the procedures stipulated under the Bankruptcy Law within 35 days from the date of the appointment notification”, reported Arabian Business.
Arabtec Holding’s subsidiaries include – Arabtec Construction, Austrian Arabian Readymix Concrete Co. LLC, Arabtec Precast LLC, Arabtec Constructions LLC and Emirates Falcon Electromechanical Co. (EFECO LLC).
While on December 17, the company, which was valued at about AED30 billion ($8.17bn) at its peak in 2014, said it and some of its subsidiaries had filed for insolvent liquidation pursuant to the resolutions of its shareholders on September 30 and November 30.
The court has scheduled the next hearing for July 26 to follow up on the procedures taken by the trustees.
Arabtec shareholders had authorised the board of the Dubai-listed construction company to file for liquidation in September 2020. This was due to its untenable financial position following the fallout from the coronavirus pandemic.