Najran Cement finalizes transportation subsidiary establishment, obtains initial license

Najran Cement logo

Najran Cement Company expects to complete the establishment of its limited liability specialized transportation company and obtain final license by Feb. 28, 2021, according to a bourse filing.

The company clarified that it has already received an initial license from the Public Transport Authority (PTA) to start the activities and formalities to obtain the final license are in progress.

The new entity is 99% complete and no further costs were incurred due to delays in the project completion. 

These delays are not expected to have a financial impact on the company, Najran added.

In February 2016, Najran Cement’s board of directors approved the establishment of a limited liability specialized transportation company, with a capital of SAR 500,000 to be financed from internal resources, data compiled by Argaam showed.

In September 2020, the company expected to complete the procedures on Nov. 1, 2020. However, in November, the cement producer announced that it expects to complete the final establishment on Dec. 31, 2020.