SASCO subsidiary acquires additional shares in Middle East Battery

Saudi Automotive Services Co.’s (SASCO) subsidiary Investments and Equipment Co. has completed the purchase of 485 additional shares in Middle East Battery Co. (MEBCO) for SAR 21.825 million through one of the partners.

The transaction amount will be paid during this month from the company's internal resources as well as banking facilities signed with a local bank, the SASCO said in a bourse statement on Monday.

After completing the deal, the Investments and Equipment Co.’s stake in MEBCO will rise from 7.94 percent to 12.79 percent. The number of shares will increase from 794 shares to 1,279 shares.

Middle East Battery is one of the leading companies in the production of Ac Delco batteries and has a large market share within the Kingdom, Middle East and Africa, the statement added.

The transaction aims to enhance its profitability through the periodic dividends received from MEBCO. Financial impact is expected to reflect on results from the fourth quarter of 2018.