Filing and Packing Materials Manufacturing Company (FIPCO) on Wednesday said that its 80%-owned subsidiary FPC Industries Co. signed a seven-year loan agreement with the Saudi Industrial Development Fund (SIDF) at a value of SAR 35.3 million ($9.41 million).
The unit plans to use the facility to finance one of its projects through which it aims to manufacture coated technical fabrics (CTF), including all kinds of PVC, PU, Acrylic, Silicon and PTFE coatings, according to a statement to the Saudi Stock Exchange (Tadawul).
The amount will be repaid on 12 semi-annual instalments and will be secured via mortgaging the plant’s assets to SIDF, in addition to providing a promissory note.
FIPCO last reported a 30% year-on-year profit growth in the third quarter of 2018, amounting to SAR 7.8 million, compared to SAR 6 million in Q3-17.
The firm’s profits also jumped 17% to SAR 24 million from January to September this year, from SAR 20.5 million in the same months of 2017.
FIPCO’s stock went up 2.19% to end Wednesday’s trading session at SAR 35.