New appointments at Damas amid restructuring drive

The Abdullah brothers have named assets available for liquidation to be converted into cash and given to Damas to meet their obligations. (DENNIS B MALLARI)

Damas International has announced changes in its top management team, bringing in Sanjay Kalsi to the position of Interim Acting Chief Executive Officer, from his previous position as Chief Financial Officer with the company.

Damas, in a statement on Nasdaq Dubai, said Kalsi has extensive experience in banking and management consultancy and has already established a positive and cooperative relationship with the management team and the creditor banks.

"The board's nominations committee is currently reviewing candidates for a permanent CEO," it added.

Other appointments included Namir El Aridi as General Counsel and Company Secretary, with responsibility for corporate governance.

Also, Dinish Dhanak was appointed as Interim Acting Chief Financial Officer from his previous position as Deputy Chief Financial Officer with the company, and Sanjay Manchanda is appointed Chief Restructuring Adviser.

Tawfique Abdullah, Chairman of Damas, welcomed the new appointments, stressing that the company continues to trade very well and is generating cash from its operations.

The move came amid restructuring efforts in the company after it was hit by a $165 million (Dh606m) unauthorised transactions that led to the resignation of Tawhid Abdullah as CEO of the company. The Abdullah brothers have granted the share pledge of 350 million stocks of Damas in favour of the company as a guarantee for the repayment.

This followed the settlement agreement between the two parties.

The Abdullah brothers have given a formal commitment to repay $165 million to the company over 18 months. They have introduced a list of assets that are potentially available for liquidation to be converted by them into cash to be contributed to Damas as unencumbered assets to meet all their obligations.

 

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