SAIC, subsidiary wrap up 4.03M shares sale in Obeikan Glass at SAR 144.1M

Logo of Saudi Advanced Industries Co. (SAIC) 

Saudi Advanced Industries Co. (SAIC) and its subsidiary announced the completion of a partial stake sale in Obeikan Glass Co., amounting to 4.03 million shares, representing 12.58% of the latter’s capital.

Shares were sold in separate batches through negotiated deals totaling SAR 144.12 million at SAR 35.8 per share to several investors, the company said in a statement to Tadawul today, April 18.

SAIC and its subsidiary’s stake in Obeikan Glass before the sale stood at 11.79 million shares, representing 36.84% of the latter’s capital. Following the sale, their ownership in Obeikan reached 7.76 million shares (24.25%), the statement added.

The deal came under SAIC and its subsidiary plan to meet the liquidity requirements for the transition of its associate company, Obeikan Glass, to the main market (TASI).

Obeikan Glass specializes in the manufacturing and production of all types of glass (transparent, coated, and safety glass). It is currently one of the largest companies in the flat glass industry in the Middle East, with a maximum production capacity of 800 tons per day.

The company’s factory is in Yanbu Industrial City, operating in the wholesale and retail trade of all types of glass and raw materials for the manufacturing of glass and its accessories, in addition to its cutting, coloring and installation. This is besides establishing and managing related mining quarries, the company noted.

The sold asset’s book value is SAR 19.69 per share. Accordingly, the company is expected to realize a capital gain of SAR 64.87 million on the sale.

The financial impact will appear during the second quarter of 2024.

The proceeds of the asset sale will go towards supporting the company's financial position and enhancing future growth plans, it further stated.