Saudi Finance Ministry takes 86% stake in Binladin Group after debt settlement
The Saudi Finance Ministry now holds an 86% stake in Saudi Binladin Group after converting $6.2 billion of debt into shares.Summary
Saudi Arabia’s Ministry of Finance has taken an 86% stake in Saudi Binladin Group Holding following a shareholder approval to convert outstanding debt into shares. This move is expected to restore financial stability and support the group’s development plans, with the Ministry of Finance now playing a direct role in its recovery and long-term growth. The restructuring addresses approximately 23.3 billion Saudi riyals ($6.2 billion) in liabilities owed to the Ministry of Finance.
The initiative was supported by a syndicated loan of 23.3 billion riyals arranged by the National Debt Management Center with local and international banks. This follows earlier measures by the Ministry of Finance to stabilize the group’s finances, including settling outstanding bank dues.
Saudi Binladin Group, formerly a leading construction firm in Saudi Arabia, has been undergoing restructuring to improve its operations and financial health, and this debt-to-equity conversion represents a significant step in that process.
(Source：Saudi Gazette)