Saudi Yamama Cement to raise capital to US$360m

Saudi cement producer Yamama Cement Company (YCC) will propose a capital increase to 1.35 bn Saudi riyals (US$360m) from 450m riyals (US$120m), according to the company’s managing director, Prince Sultan bin Mohammed bin Saud al-Kabir.

The capital hike, to be carried out via a two-for-one bonus issue, will be financed from YCC’s reserves, currently exceeding 1.0 bln riyals ($267m). The capital increase is subject to shareholders’ approval at an extraordinary general meeting (EGM), scheduled for the first quarter of 2006.