Drake and Scull International (DSI) has appointed Yousef Al Mulla as its new group chief executive officer (CEO), just five months after Dr Fadi Feghali stepped into the role at the end of March.
The UAE-based contractor said its new CEO is expected to assume his role on 26 August, 2018, with the decision to appoint him made during a board of directors meeting held on Monday.
An industry veteran who was previously CEO of Square General Contracting, Al Mulla has also served as managing director for Transemirates Contracting Company.
He holds a bachelor’s degree in civil engineering from the US and is a certified project director.
He will replace outgoing CEO Dr Fadi Fenghali who was appointed to the top spot at DSI five months ago as part of ongoing restructuring. Fenghali will take up a new role at DSI that is yet to be announced by the beleaguered contractor.
Meanwhile, DSI has cited “fresh” restructuring plans in its 2018 first-half financials – released at the same time as the senior appointment announcement.
According to figures from the firm, H1 2018 net loss stood at $49.8m (AED183m) – a decline in profitability that was mainly attributed to cost overruns for non-performing subsidiaries in secondary markets, including in Oman.
Defaults on project debt obligations and arrears in the secondary markets also resulted in a "significant hike in finance cost and negative margin impacts".
DSI added: "The next phase of the restructuring plan will entail scaling down operations in none core businesses and non-performing business streams and increasing focus on core markets and profitable business streams."
The company also announced that it will be calling for a General Assembly Meeting and will set its agenda in coordination with the Securities and Commodities Authority in due course.