Qassim Cement: Competition Authority Approves Economic Concentration for Full Acquisition of Hail Cement

“Qassim Cement Company (QCC) announced Thursday the issuance of non-objection by the General Authority for Competition on 04/08/1445H (corresponding to 14/02/2024G) regarding the completion of the economic concentration arising from the Share Exchange Transaction for Qassim Cement Company to acquire all shares of Hail Cement Company.

The company underscores that the transaction remains subject to various other conditions, including obtaining approvals from the Capital Market Authority and the Saudi Exchange, securing the necessary shareholder approvals in the extraordinary general assemblies of QCC and HCC, and meeting other conditions outlined in the FIA.

This announcement follows Qassim Cement Company’s previous disclosure on the Saudi Exchange website on 24/12/2023G regarding the entry into a binding implementation agreement with Hail Cement Company (HCC). Pursuant to this agreement, QCC agreed to offer to acquire all shares of HCC’s shareholders in exchange for newly issued shares in QCC, in accordance with the Merger and Acquisition Regulations and the Rules on the Offer of Securities and Continuing Obligations issued by the Capital Market Authority.

Furthermore, QCC’s firm intention to make an offer in connection with the transaction was announced on the Saudi Exchange website on 17/01/2024, with an addendum on 18/01/2024, indicating that the transaction is subject to several conditions.

Hail Cement Company also announced the receipt of non-objection from the General Authority for Competition for the completion of the economic concentration resulting from the transaction. However, similar to QCC, HCC notes that the transaction remains subject to various other conditions, including regulatory approvals and shareholder consents as outlined in the FIA.