Saeed Al Mehairbi named acting chief of the troubled UAE builder
The Acting CEO of the Dubai-listed builder Arabtec has quit, following a string of quarterly losses and management upheavals at the firm.
Mohamed Al Fahim resigned “due to other commitments” and has been replaced by Saeed Al Mehairbi, Arabtec said in a statement to the Dubai Financial Market.
“The board accepted Mr Al Fahim’s resignation as Acting CEO whilst remaining as board member,” the brief statement said.
Mohamed Al Fahim will become a member of the nomination and remuneration committee to replace Al Mehairbi, the statement added.
The move follows Arabtec’s reported $257 million loss in the third quarter, which marked its fourth consecutive period of losses.
The builder said a “difficult environment” had contributed to a 24% decline in revenue during the period.
Arabtec, which counts the Abu Dhabi state fund Aabar as its largest shareholder, has seen its share price fall by more than 80% from a May 2014 peak, a decline driven by the failure to agree a deal for a project to build one million homes in Egypt, and its former chief executive quitting.
It is currently in the midst of a restructuring and cost-reduction programme.