During a meeting held on Wednesday, the Board of Directors of Gulf Navigation Holding agreed to convert mandatory convertible bonds worth AED 1.169 billion into shares totaling 935.6 million, at a conversion price of AED 1.25 per bond for the benefit of the shareholders of Borouge Energy Limited.
According to the company’s announcement, this initiative will be followed up with the Securities and Commodities Authority to secure the necessary approvals, along with a trading ban lasting one year from the date of issuance.
Last month, Gulf Navigation revealed its successful acquisition of Borouge Energy Limited’s assets together with all operating subsidiaries, boosting its capital from approximately AED 837 million to AED 1.65 billion. Additionally, mandatory convertible bonds were issued for the benefit of Borouge partners, raising the capital to about AED 3.5 billion following the short-term conversion of these bonds.
The Board also made the following decisions during the meeting:
– Accepted the resignation of Suhail Al Mazrouei from his position as Vice Chairman and Board Member.
– Appointed Suhail Al Mazrouei as Chairman of the Board, with Rasoul Al Amri taking on the role of Vice Chairman, pending confirmation and further review upon completion of the board.
– Designated Saif Ibrahim Al Hazaimah as the Acting CEO of the company.
– Revoked the appointment of Jimmy Rashid as a board member due to not meeting the required membership criteria, assigning him instead as an advisor to the Board.
– Appointed Kamal Fran as a new board member, replacing Jimmy Rashid, allowing him to assume his responsibilities immediately.
– Accepted the resignations of the following members: Khalifa Al Muhairbi, Mohammed Al Dhawadi, and Ahmed Al Kilani, who will continue their duties until new board members are elected.
Furthermore, the Board approved the addition of two items to the agenda of the general assembly regarding:
– The company’s repurchase of up to 5% of its total shares (treasury shares).
– The election of new board members to fill the vacancies left by resigning members.