Amlak Finance PJSC shareholders on Sunday approved moves to increase the company’s share capital, agreeing to the issuance of an Islamic financial instrument convertible into shares and with a limit of Dh2.1 billion.
The approval, which came at at Extraordinary General Meeting, is a key milestone in the implementation of a restructuring package which had been approved earlier by the company’s financiers in August.
Commenting on the development, Engineer Sultan Bin Saeed Al Mansouri, UAE Minister of Economy and Chairman of the Committee to Assess the Condition of some Public Shareholding Companies of the UAE, said: “We are very pleased that restructuring proposal has been accepted by the company’s shareholders at the EGM. This brings the restructuring close to completion for Amlak, and after finalisation of the restructuring documentation, the company will be taking the necessary regulatory steps to have its shares re-admitted for trading on the DFM [Dubai Financial Market] in 2015.”
Arif Al Harmi, Amlak CEO, said: “We would like to thank all Amlak’s shareholders for their unwavering support over this period and for their acceptance of the restructuring package at the EGM. I would also like to thank the UAE Government, the committee and our financiers who have closely partnered with us throughout this process. Amlak has taken a number of strategic measures over the last few years to focus on its core property financing operations and reduce its exposure to real estate assets and we continue to work hard with all our stakeholders in returning to the market.”
Due to regulatory requirements for the re-admission of share trading, shareholders’ approval at the Annual General Meeting will also be required as part of this formal process. The AGM is provisionally scheduled to take place in the first quarter of 2015.
