Riyadh – Mubasher: Qassim Cement Company plans to acquire Hail Cement Company’s entire shares through a securities exchange transaction.
The transaction shall be implemented in accordance with the rules and obligations issued by the Capital Market Authority (CMA), according to a recent bourse statement.
Meanwhile, Qassim Cement will increase its capital by 22.80% to SAR 1.10 billion from SAR 900 million. Hence, the number of shares will stand at 110.55 million, compared to 90 million shares.
Under the exchange ratio, a 0.21 new share in Qassim Cement will be issued in exchange for each share in Hail Cement.
Following the transaction and the capital raise, the shareholders of Qassim Cement will own 81.40% of the firm, while Hail Cement’s shareholders will hold 18.60%.
In the first nine months (9M) of 2023, Qassim Cement recorded 30.48% higher net profits after Zakat at SAR 101.08 million, compared to SAR 77.47 million in 9M-22.
In the January-September 2023 period, Hail Cement turned profitable at SAR 21.38 million, compared to net losses valued at SAR 5.90 million a year earlier.
