Dubai-based Drake & Scull International PJSC has successfully concluded a significant subscription for its capital increase, garnering over AED 450 million and surpassing the minimum required for its restructuring process. This capital raise, critical for the completion of the company’s restructuring, began on April 25 and culminated on May 10. The new capital will amount to AED 2,887 million, allocated over an equivalent number of shares. The shares were offered at 25 fils each, a substantial discount from their par value, which will be recognized as a negative reserve in the balance sheet. Chairman Eng. Shafiq Abdelhamid applauded the shareholder confidence, which is seen as pivotal for the company’s turnaround and its aspiration to reinstate its market position, particularly in the UAE’s burgeoning real estate sector. The IPO success lays the path for the execution of Drake & Scull’s restructuring plan, centered around its core competencies in electromechanical contracting and related services. The plan incorporates a 90% liability write-off from financial and trade creditors with the residual 10% being converted into mandatory convertible bonds. Partnerships during this phase included Emirates NBD Capital, Emirates NBD Bank, Trussbridge Advisory, and INP- Ibrahim & Partners. Drake & Scull operates in various high-performance sectors such as electromechanical projects, water and power, and MEP solutions, and is poised to enhance its portfolio and project delivery across its specializations.

Construction and Engineering, Financial Services, Real Estate,United Arab Emirates, GCC (Gulf Cooperation Council)

https://www.zawya.com/press-release/companies-news/drake-and-scull-international-successfully-closes-its-subscription-for-the-new-capital-nl361o6w