Construction Products Holding Company (CPC) said it has increased its capital to SR1 billion ($267 million) to achieve its future planned business expansion in accordance with the escalating market demand.

The capital increase has been carried out by utilizing the current accounts of CPC’s partners, which reflect part of the value of the fixed assets and factories already existing and operating, which are owned by the company in the industrial zones in Jeddah, Bahra, and Riyadh and soon in Dammam, said a top official.

"The Board of Directors of CPC held a special meeting for this purpose and approved the increase of the capital," said Dr Faysal Alaquil, director, Business Development and Administrative Affairs.

"This decision came in the context of achieving the optimal organizational structure that will enable the company to achieve its future planned business expansion in accordance with the escalating market demand," Dr Alaquil explained.

“The increase gives the company greater financial strength and independence to enable us to expand our work within Saudi Arabia and to meet the growing demand for construction materials," Dr Alaquil stated.

"Particularly after the great confidence that have been obtained from contractors and developers in view of our strategy, which is based on a “One Stop Shop” for all construction needs through our industrial complexes in Saudi Arabia," he said.

CPC is a closed joint stock company founded in 2005 in Saudi Arabia that offers customers a comprehensive range of construction and building materials.

“CPC and its subsidiaries is a unique combination being the first Saudi company that provides 80 per cent of all construction materials for the Saudi market in accordance with the national industrial strategy, which aims to encourage the provision of construction materials for the Saudi market and construction projects,” he added.-TradeArabia News Service