Amiantit CEO shrugs off bankruptcy; says production, revenue to normalize gradually

Amiantit CEO Khalil Kordi

Saudi Arabian Amiantit Co.’s Chief Executive Officer (CEO), Khalil Kordi, ruled out the possibility of bankruptcy, affirming the company’s capability to gradually return to production and generate revenue normally.

Amiantit entered into an agreement with some banks a few days ago to restructure its financial obligations, Kordi told Argaam in a telephone interview, adding that the company is seeking new loans to finance its working capital.

The company needs to raise cash with banks to purchase raw materials and boost production, Kordi said, noting that Amiantit is still in a strong position despite fierce competition in the pipeline sector.

Amiantit’s major shareholders have supported the company for four decades. Moreover, the company will overcome the current challenges, backed by its strong administrative and technical capabilities, Kordi concluded.

The pipe manufacturer narrowed its net loss to SAR 147.8 million in the nine-month period ended Sept. 30, 2021, from SAR 244.1 million a year earlier. The third-quarter losses stood at SAR 87.3 million, Argaam reported.