Saudi group admits to debts squeeze

The conglomerate owned by Maan Al-Sanea, one of Saudi Arabia's most powerful businessmen, yesterday said it was planning an orderly restructuring of some its debts as the result of a liquidity squeeze.

The statement by Saad Group - its first admission that it is facing difficulties - came after bankers said the Saudi Arabian Monetary Agency (Sama) had frozen the personal accounts of Mr Sanea and his family.

Sama, the kingdom's central bank, has not commented on its decision. A spokesman for Saad Group said it did not comment "on rumour or speculation." There has been no denial. The statement said the accounts of the group's operating companies remain unimpaired.