Arabtec Holding files for Bankruptcy with Dubai Court

UAE-based troubled contractor Arabtec Holding has submitted a bankruptcy petition to Dubai Court, following the company's former group CEO Wail Farsakh's resignation in February 2021, Construction Week reported. In a missive issued to Dubai Financial Market (DFM), Arabtec Holding stated that a bankruptcy petition was submitted to the Dubai Court in addition to certain subsidiaries, which include Arabtec Construction, Austrian Arabian Readymix Concrete Co., Arabtec Precast, Emirates Falcon Electromechanical Co. Dubai Court has appointed a panel comprising seven experts to analyse the bankruptcy application. The experts convened the first meeting with the legal representatives of Arabtec Holding and the joining parties. The matter is still under consideration with the experts’ panel, whereas their report has not been issued yet, the missive stated. On March 1, 2021, the contractor issued an application to join two additional entities working under the umbrella of the holding company to the bankruptcy and liquidation process. These included GSI Steel Construction Contracting LLC and Gulf Steel Industries FZE. Meanwhile, the news of Farsakh's resignation and move to Binladin Contracting Group came months after Arabtec Holding confirmed going into liquidation following the suspension of its shares on the DFM. The company had conducted a general assembly meeting to "discontinue with the company and dissolve it due to its untenable financial situation". Read more.