Building materials manufacturer Saudi Steel Pipe Company (SSP) has reshuffled its senior board ranks three months after it reported a near-1,000% fall in net profit for 2018, following impairment losses and reduced profitability in its titanium- and steel-making joint venture with Korea’s TSM Tech.
According to a statement on Tadawul, SSP has appointed Ahmed Al-Debasi – listed as the group’s marketing manager on its website – as non-executive chairman on the board.
Carlos Ferreyra, financial regional director for the Middle East and Africa at Luxembourg-based pipeline producer Tenaris – which completed its acquisition of a substantial stake in SSP this January – has been appointed vice chairman of the board.
Mariano Armengol Lamazares has been made managing director and chief executive officer, with Mousa Al-Mousa appointed board secretary.
The news comes three months after the engineering and construction steel supplier reported a net loss, after zakat and tax, of $45m (SAR168.7m) – a 983% decline compared to 2017, when it posted a net profit of $5m (SAR19m).
A $22.2m (SAR83.14m) loss by subsidiary TSM Arabia – a process equipment manufacturer established in 2011 between SSP (70%) and South Korea’s TSM Tech Company – was also cited as a factor behind the firm's losses in its missive to Tadawul.
Tenaris bought its 47% stake in SSP for $141m (SAR529.8m) earlier this year to expand its presence in Saudi Arabia, where it sells to industry giant Saudi Aramco.