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Abu Dhabi, UAEFriday 22 February 2019

Dubai’s Drake and Scull appoints new group chief executive

Tawfig Abu Soud to take the helm, as board meeting planned in February to approve restructuring

Drake & Scull International appointed Tawfig Abu Soud as group chief executive as it continnues to restructure amid rising losses. Rich-Joseph Facun / The National
Drake & Scull International appointed Tawfig Abu Soud as group chief executive as it continnues to restructure amid rising losses. Rich-Joseph Facun / The National

Loss-making Dubai contractor Drake and Scull International appointed Tawfig Abu Soud as group chief executive and said it will convene its board to seek approval for its latest restructuring programme next month.

Mr Abu Soud’s appointment is effective from January 23, the company said in a filing to Dubai Financial Market, where its shares are traded, on Tuesday afternoon.

He will assume responsibility for DSI’s operations from his predecessor Yousef Al Mulla, who resigned in December. That same month, the company appointed board member Obaid Bin Touq as its new chairman, following the earlier resignation of Abdulla Atatreh.

Since 2016, DSI has worked to scale down operations and non-performing business streams, while increasing focus on core markets, to narrow widening losses incurred amid challenging conditions in the regional construction industry in recent years.

The company in November posted a net loss of Dh498 million for the third quarter of 2018, compared to a net loss of Dh181m in the previous quarter. It is currently coordinating with external advisors and UAE markets regulator the Securities and Commodities Authority to call for a general assembly meeting in February to approve its latest restructuring programme, DSI said in its statement on Tuesday.

Mr Abu Soud previously served as chief executive of ADC Energy Systems, and, before that, as chief executive of Arabtec Subsidiaries, part of another Dubai-listed contractor.

He has also served as managing director for DSI’s mechanical, electrical and plumbing (MEP), water and power subsidiaries, and as operations director for contractor Manco International.

Abdulla Al Matrooshi was appointed as a board member to replace a previous member who also left the company, DSI added.

Updated: January 29, 2019 05:54 PM

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