| APPC changed its Banking structure to Islamic (Sharia) |
23/05/2007 |
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 APPC finally is able to convert its financial deals to Islamic. This was announced by APPC chairman Mr. Khalifah Ben Abdullatif Al-Molhem and he added that this move was accomplished by signing a contract converting a 330 million dollar loan (SR1, 237, 1 billion) to an Islamic. This loan was taken from a group of regional and non regional banks. The chairman also commented that this loan is an Islamic and in compliant with sharia law and all incoming financial transactions will be Islamic. And he added that this loan will be spent on building the polypropylene plant in the industry city of Jubail. This loan was supervised by Gulf International Bank as a financial consultant for the company and funded by eight regional and non regional banks: SAMBA Bank, Riyadh Bank, Arab Establishment for Currency Exchange, SAB Bank, Saudi Hollandi Bank, National Trading Bank, and the United National Bank.
APPC was able to complete more than 80 % of the plant constructions and also succeeded in providing 90% of the equipment needed. The expected operation of the plant would be on November 2007 and trial production will be on December 2007. The company is proud to announce the accomplishment of more than 8 million working hours without injury.
APPC was established on October 2005 with a capital of 750 million dollar (75 million shares with a share price of SR10). Later, APPC raised its capital by selling 66 million shares to public market on December 2006.
Chairman of the company Mr. Khalifah Ben Abdullatif Al-Molhem denied roomers that there are some obstacles in selling polypropylene to European countries, except that there is a 5% tax on the product. But he added that the company was able to overcome this by establishing a partnership with European companies. |
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