30 July 1998: The Saudi Arabian firm Al-Zamil & Brothers has announced the formation of a closed joint-stock company grouping its steel buildings, air-conditioning and glass businesses. The move compl…
30 July 1998: The Saudi Arabian firm Al-Zamil & Brothers has announced the formation of a closed joint-stock company grouping its steel buildings, air-conditioning and glass businesses. The move completes the first part of plans to turn the new entity into a public shareholding company. Al-Zamil Industrial Investment Company is capitalised at SR 300 million (US$ 80 million), split into 6 million shares with a par value of SR 50 (US$ 13) each. Al-Zamil family members own 60% of the new company. The remaining equity was placed with local and GCC investors. Adeeb al-Zamil, the group“s financial controller, says the distribution was quite diverse and will open the company to further opportunities for growth. Kuwait-based Gulf Investment Corporation took a 10% stake in the company. Other GCC investors are the UAE“s Juma al-Majid Group; Al-Moayyad Group and Mohammed Jalal Group, both of Bahrain; and Qatar“s Al-Manie Group, Mannai Group and Qatar Insurance Company. Saudi investors include Olayan Group, Bin Mahfouz Group, Al-Turki Group, Kanoo Group, Al-Muhaidib Group and Saudi British Bank. In addition to the al-Zamil family holdings, some 22% of the company now lies in Saudi hands. GCC investors own a total of 18%. Under Saudi law, shareholders in a new joint-stock entity may not sell or trade their shares for two years, except to each other. After this, the company may apply for listing on the local stock market.