Sahara Petrochemical spends SAR 1.1 bln of IPO proceeds

Sahara Petrochemical Co. has spent 1.1 billion out of the SAR 1.46 billion proceeds received from its initial public offering in 2011, the company said in a statement to Tadawul.

As of the end of Q1-2016, the company spent the proceeds on the following:

- ALWAHA Petrochemicals Company: SAR 0

- Neopentyl Glycol-NPG: SAR 110,000

- Employee Share Incentive Program: SAR 0

- Employee Home Ownership Program: SAR 12.08 million

Projects

All the following projects have been fully funded, and an excess of SAR 63.57 million has been added to the company’s treasury.

- SAHARA & Maaden Petrochemicals Co (SAMAPCO): SAR 52.33 million.

- The remaining SAR 72.17 million sum represents the partners’ loan funded by bank loans.

- Saudi Acrylic Polymer Company (SAPCO): SAR 95.11 million.

- Saudi Acrylic Monomer Company (SAMCO): SAR 0 and the remaining SAR 29.2 million sum represents an additional contribution that been netted off against the right issue proceeds.

- Butanol Project: SAR 74.84 million and the remaining SAR 2.52 million represent the company’s saving from the capital project cost.

Other Costs
 

- Utilities and off sites (U&O): SAR 164.67 million.

- Rights Issue cost: SAR 31.92 million and the remaining SAR 18.08 million represent saving in the financing cost from accelerated bridge loan repayment.

- Short Term Bridge Loan repayment: SAR 384.77 million.

- Five-year administrative expenses: SAR 99.28 million

- Adjustments requests to support shared services: SAR 31.6 million

- Contingency (General): SAR 55.24 million