Binladin Group shareholders may transfer stakes to settle government dues

Some shareholders in Saudi Binladin Group (SBG) may transfer part of their stakes to the government to settle outstanding dues with authorities, the company said in a statement.

“The firm remains a private sector company owned by its shareholders,” the statement said.

The construction group added that it is continuing its work with the government, which accounts for the majority of its business. This includes the projects of the Two Holy Mosques, which began several months ago and are scheduled for completion before Ramadan.

The firm is optimistic and is working to fulfill obligations towards all parties, the statement said.

SBG has been working on restructuring the company in a way that would separate the ownership of the group from the executive management.

To support this approach, a supervising committee has been formed, comprising five members. The committee includes three independent members – Abdulrehman al-Harkan, Khaled Nahas, and Khaled Mohammed al-Khowaiter – in addition to two of the owners Yehia Bin Laden and Abdullah Bin Laden.

The committee will be able to execute the restructuring plan and enable the new executive management to lead the firm’s projects and turn it around to profitability, the statement said.

On Thursday, the Saudi government took managerial control of SBG and started looking into a potential transfer of some of the construction giant’s assets to the state, Argaam reported earlier.