Kuwaiti logistics firm Agility expects to meet its revenue target for 2008 of US$7 billion and still plans to settle almost all of its debts this year, the Kuwait Times reported.
Chairman and managing director Tarek Sultan also said the logistics providers request to sell US$406.1 million of shares in a capital increase had been denied by the government.
Sultan reiterated Agility would settle $1.6 billion in debts this year, taking its total obligations to almost zero. "We are looking at reaching almost net debt of zero at the end of this year," Sultan said. "The current debt now is around $16 billion but we have cash and receivables of $1.5 billion.
In January, Sultan had said the company had $1.3 billion in cash and outstanding debts of $1.7 billion. Many Gulf Arab companies are struggling to repay and refinance debts during the global financial crisis. In Kuwait, Global Investment House said earlier this year it had defaulted on most of its debt.
Agility said last year it was seeking to raise KD120 million to finance expansion and reduce its dependence on US government deals in Iraq and Afghanistan. Yesterday, Sultan said that request had been rejected by the regulator. Shares of Agility rose 1.52 percent yesterday. |
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Source: Cargonewsasia
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