BY OUR STAFF REPORTER
15 May 2006
RAS AL KHAIMAH — The Gulf Pharmaceutical Industries (Julphar) decided yesterday to increase its total capital to Dh.1 billion.
The company's Extraordinary General Assembly Meeting decided to issue 537,760,000 new shares, with the total cost of Dh. 1 for each share and Dh. 0.75 issuance fees.
Shaikh Faisal bin Saqer Al Qasimi, Chairman of the company's Board of Directors, who presided over the meeting, said: "This increase will give the company great boost to meet its future expansion plans." Besides increasing the company's paid capital, the Board of Directors has also proposed the issuance fees of the new shares at Dh. 1.75. He also added that the capital increase came as a part of the company's strategy to be one of the leading medicine manufacturer worldwide. "The world medicine market is dominated by the big companies that have big capitals and up-to-date technologies," he added.
The new shares will be paid in instalments throughout the coming five years. "Shareholders are required to start paying from August 1, 2006 and end in a period not exceeding five years from this date," he added.
The first instalment would be 10 per cent of the total shares. "Each of the shareholders will not eligible to own the shares unless he pays all the dues," he said. They are also allowed to pay the total cost in one instalment. The company has earlier decided to distribute 20 per cent of its interest for the year 2005 as share dividends. The company has also managed to increase its share of the medicine market in the GCC countries to $36 million in the year 2006, with the total increase of 50 per cent compared to 2005.
