Saudi International Petrochemical Company (Sipchem) has completed its multibillion-dollar merger with Sahara Petrochemicals Company as Saudi bourse Tadawul de-lists the latter’s shares.
According to a regulatory filing, Sipchem has – following paid up capital of $1.9bn (SAR7.3bn) – changed its name to Sahara International Petrochemcial Company.
Through the “business combination of equals”, Sipchem increased its capital to acquire all of Sahara shareholders’ stake in exchange for 366.7 million shares in the newly formed Sahara International Petrochemcial Company.
The new firm will continue to be referred to as Sipchem.
“This transaction is in line with the strategic goal of Vision 2030 to build national entity with strong local and international reach in a sector has been identified as a priority for the future economy of Saudi Arabia,” Sipchem said in a statement following its 16 May extraordinary general assembly meeting.
In a separate merger-related Sipchem filing on Tadawul in April, Sipchem announced that Saleh Mohammed Bahmdan, Sahara’s chief executive officer, would be appointed chief executive officer of the new group.
Abdullah Saif Al-Saadoon, Sipchem CEO and managing director, will work as the group’s COO.
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