Riyadh - Mubasher: Saudi Pharmaceutical Industries and Medical Appliances Corporation (SPIMACO) raised its stake in Moroccan Arabic Pharmaceuticals (Aavarma), its affiliate company in Morocco.
The pharmaceutical company increased its stake to 70.65% from 65.06%, after the extraordinary general meeting (EGM) approved on Friday raising its capital to MAD 470 million from MAD 250 million.
The company subscribed its stake in the unit's capital increase, which amounted to MAD 151.8 million, besides subscribing an additional stake of MAD 17.6 million, so that total subscriptions reach MAD 169.4 million (SAR 63.4 million).
The stake raising will be financed from the company's reserves, according to a bourse filing on Sunday.
The statement noted that the capital raise targets financing a company's project to establish a new plant complying with the international quality standards on a piece of land in Berrechid Province of the Casablanca-Settat region of Morocco.
The project is expected to be accomplished by the fourth quarter of 2017, the statement said.
Aavarma's EGM approved changing the name of the company from the Moroccan Arabic Pharmaceuticals to Spimaco Morocco, after getting the required approvals.
