Saudi’s Mobily appoints chief executive
Saudi Arabia’s Etihad Etisalat, Mobily, has appointed former MTN executive Ahmad Farroukh as chief executive at the company.
The Saudi mobile operator has lost more than half of its revenue since October 2014, as well as a chunk of its senior management, including suspended CEO Khalid Omar al-Kaftook and chairman Abdulaziz al Saghyir in February this year.
Following a string of accounting errors and a probe from country regulators, Mobily is now revising its accounting policies and, with Farroukh – former CEO at MTN Group’s South African unit – joining the team, now looks set on returning to financial stability.
The company has also hired Kais Ben Hamida as chief financial officer.
Omar Maher, telecoms analyst at EFG-Hermes told local reporters that Farroukh’s appointment was a positive development for Mobily.
“Mobily said Mr Farroukh comes with experience in financial management and audit, which is what the company needs at the moment to get out of its problems,” Maher said.
“It is going to take time before we see some improvement reflected in the numbers, but it is a step in the right direction.”
Last month, trading in Mobily shares was suspended pending the reissuing of its full year 2014 and first quarter 2015 financial statements. Both are expected towards the end of the month after the Eid break.