The Saudi Cable Company has recently declared its intention to divest its investment interests in Turkey. This strategic pivot follows a comprehensive evaluation of the company’s financial results in the region, which indicated that the anticipated financial yields were not realized over the past several years.
This decision was made as part of the company’s ongoing scrutiny and refinement of its strategic business direction. After careful deliberation and the preparation of requisite analyses, the board of the Saudi Cable Company endorsed the move, which was also supported by both local and international legal experts.
Legal advisors concurred with the board’s decision, highlighting that the company’s Turkish subsidiaries have consistently underperformed, incurring losses despite various remedial actions implemented by management over time.
In response to this situation, Saudi Cable took decisive steps by fully accounting for the loss in value of its Turkish investments and associated financials in the consolidated accounts, as of the year-end closing on December 31, 2022.