Dubai contractor Drake & Scull fires CEO, CFO as losses continue
Tawfiq Abu Soud has been dismissed from his post as CEO four months after he took the helm of the loss-making contractor
Dubai-listed contractor Drake & Scull International (DSI) has fired its chief executive officer, Tawfiq Abu Soud, four months after he was appointed to the job as the company's loss-making trend continues.
According to a filing on the Dubai bourse, DSI’s board of directors approved firing Soud; chief financial officer, Khaled Jarrar; and chief legal officer, Mohamad Ghanem.
The decision to fire all three was taken during a board meeting on 24 April.
In its bourse missive, DFM said the firm – which posted a net loss of $49.8m (AED183m) in H1 2018 – will be manged by an executive committee comprising three managers until a new CEO and CFO are appointed.
Fadi Saba has been appointed group CLO, having worked as general counsel and board secretary at DSI from August 2010.
The news comes just two months after Al Jarrar, who has 30 years of international work experience, joined DSI as group CFO. At the time, DSI described him at the time as “a veteran of corporate finance and accounting” who was responsible for the contractor’s “historic” initial public offering efforts in 2007/08.
Fired CEO Soud joined DSI this January, taking over the job from Yousef Al Mulla. At the time of his appointment, DSI said its new top boss had “a stellar record of accomplishment of inspirational leadership and has more than 35 years’ experience in delivering consistent results”.
The management reshuffle comes amid ongoing restructuring efforts to return DSI to profitability.
The contractor created a four-member committee in October 2018 to manage the next phase of its restructuring efforts, after its board agreed to not dissolve the business.