Sahara posts update of rights-issue proceeds spending

Following is an update from Sahara Petrochemical Company on the use of proceeds of its rights issue (executed on 23/12/2011) by the end of third quarter 2014:
 

The company has used the following amounts to finance the projects listed in the prospectus as follows:

• Al-Waha Petrochemicals Company: Zero
• Neopentyl Glycol-NPG: SAR 110,000
• Administrative expenses related to Sahara Petrochemicals Company for five years: SAR 68,110,000
• Employee Home Ownership Program Financing Costs: 6,960,000
• Adjustments Requests to support shared services: SAR 29,030,000
• Contingency (General): SAR 10,330,000
• Employee Share Incentive Program: Zero

The following projects were fully funded and excess amounts were added to the company’s treasury:
 

• SAHARA & Maaden Petrochemicals Company-SAMAPCO: SAR 52,330,000 and the remaining SAR 72,170,000 represent partners’ loan funded by bank loans.
• Saudi Acrylic Polymer Company-SAPCO: SAR 95,110,000 and the remaining is zero.
• Saudi Acrylic Monomer Company-SAMCO: Zero and the remaining SAR - 29,200,000 represent an additional contribution for the increase of project cost.
• Butanol Project: SAR 74,840,000 and the remaining SAR 2,520,000 represent the company’s saving from the capital project cost.
•  Utilities and off sites (U&O): SAR 164,670,000 and the remaining is zero
• Rights Issue Shares Financing Cost: SAR 31,920,000 000 and the remaining SAR 18,080,000 represent saving in the financing cost from accelerated Bridge Loan repayment
• Short Term Bridge Loan repayment: SAR 384,770,000 and the remaining is zero.
   

The rights issue proceeds were SAR 1,462,650,000, of which SAR 981,750,000 were used by the end of the third quarter 2014, the filing on Tadawul said.