Algosaibi invites creditors to discuss $5.9bn default

April 1, 2014 10:29 am

Ahmad Hamad Algosaibi & Brothers Co has invited creditors including BNP Paribas and Standard Chartered to discuss claims on $5.9bn of debt, as the Saudi conglomerate seeks to recover from the Middle East’s biggest default, Bloomberg has reported. The firm, with interests ranging from construction to finance, will “outline proposals aimed at achieving a comprehensive settlement” with more than 70 creditors at a May 7 meeting in Dubai. Four years ago, banks rejected an original debt restructuring proposal from the company. Algosaibi and billionaire Maan al-Sanea’s Saad Group defaulted on at least $15.7bn in 2009, as the global economic crisis froze credit markets and asset prices slumped. The two family holding companies have been locked in legal disputes ever since.