By coincidence I met a friend, he's working in a foreign company working in ARKAN's cement factory, he told me that his company is facing big problems with ARKAN, he assured that the (1.1 billion / AED cement factory), will never be ready on time.
as I said before.
And ARKAN is in process to sign a deal with his company, which will give everybody in the industry a solid proof that ARKAN is not qualified enough to run such a factory and such a company.
Trust me in a very short period of time a big shock will face G.H.C. (ARKAN's parent company) & shareholders.
Time will prove what I'm saying, and will prove that ARKAN is spending unnecessary extraordinary amount of cash to cover it's bad projects management and bad judgments.
As usual.
BTW. This amount consists of almost 9 digits. _________________ Insiders information is running the market.
Don't worry, I have some information ( Not confirmed ), that everything will be fine in ARKAN.
The management will be changed soon, beause after (one third) of there period, they did nothing good to ARKAN, they are loosing since they took over, and some instructions comes from higher ranks to change them.
Hopfully.
I think the new management will try to solve the current management failur.
Pray to confirm these iformation.
Once it will be confirmed, everybody will be notified. _________________ Insiders information is running the market.
A management change won’t change the trading environment. As we all know the construction sector in the United Arab Emirates has been hit hard by the global financial slowdown (projects are slowed or cancelled)
Less building projects means less Cement. Arkan’s nine month sales have fallen to AED 502.9 million from AED 590.8 million last year, which under the circumstances isn’t surprising … or that bad a reflection on the company.
The fact that Arkan has chosen to cancel or delay further expansion is pragmatic and unavoidable.
Everything else (Management, Social Aid Distribution of Shares etc) are secondary issues.
If real estate suffers, the construction industry suffers. If the construction industry suffers then suppliers of cement suffer … that’s all there is to it.
With all my respect to your point of view It's not accurate.
It is not matter of trading, ARKAN is building material manufacturer.
As you know ARKAN is A.D. based company supported by the GOV.
signed a lot of MOU's with developers, AL DAR for example has 7 BILL / AED projects under construction. DOT has 3.2 TRILL / AED, for road works only. So if ARKAN management activate the MOU with AL DAR only, which will make ARKAN the major supplier for AL DAR, ARKAN shares will break the ceiling.
"What if" ARKAN management provide DOT. with B.materials, you can not imagin the income that ARKAN will make.
On the other hand A.D. government did not change 2020 plan, they working in full thruttle, so there is no less buildings as you mentioned in your comment.
A.D. has a completely different building construction atmosphere than DUBAI, they did not stop or delay any major project. ( I'm talking about the GOV. companies only ).
So as mentioned before ARKAN has a very bad management and has to be replaced ASAP, simply cause they did not seize opportunities _________________ Insiders information is running the market.
It’s not my “point of view” the fact is that Arkan’s sales have fallen (nine month sales have fallen to AED 502.9 million from AED 590.8 million last year). Arkan have seen inventories cut by AED 50.2 million in H1-09 again this is not my point of view.
Against that kind of market you cannot expect Arkan to produce the bumper profits of two years ago.
J.R wrote:
On the other hand A.D. government did not change 2020 plan, they working in full thruttle, so there is no less buildings as you mentioned in your comment.
Arkan’s customer base is not limited to AD or the AD gov. Across the UAE there have been a large number of project cancelled, that’s bad for the cement market.
I recall that Arkan’s shares plunged about 65% from AED 9 to AED 3.15 in less than a month, after the Federal Government allowed Social Security beneficiaries to trade them … do you blame Arkan’s management for that as well?
The fact is that ARKAN sales decreased, because they are depending on a (30 years old factory ) plus small block factory. The old factory is not working in full capacity ( logically caues it's tooo old ), and the block factory is too small to carry up such a company.
This is the fact that a few people in the industry knows.
As i said before the management did not siece the opportunities in Abu Dhabi, they didn't do well in there HOME wheres theres a huge of B.material demand and they are importing it. what do you think ARKAN will do in DUBAI for example, where a lot of projects had been cancelled or delayed.
It's a very simple case, a building material manufacturer do not know how to sell it self in a market with a big demand of it's product.
Simply they have to change the management, if they want to survive.
As simple as this.
(( the comment was sent as a P.M. by mistake )) _________________ Insiders information is running the market.
This is the fact that a few people in the industry knows.
Please don't claim something is factual when there is a lack of publicly available information to back it up. It's probably better not to claim anything is "a fact" anyway. Quote reliable sources or give opinions instead - see the forum guidelines for more. Thanks . _________________ UAE IPO list | posting guidelines
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