Jordanian Pharmaceuticals and Al-Razi to merge operations in 2003
The Jordanian Pharmaceuticals Manufacturing (JPM) and Al-Razi Pharmaceutical Industries Company will merge their businesses in the first quarter of next year. The new firm will be a public shareholding company and will operate under JPM's name, reported Jordan Times.
The official merger is awaiting the assessment of a committee set up to evaluate the assets of both entities. According to Al-Razi Board Chairman and CEO, Mohammad Ghanayem, the expanded JPM will manufacture more than 150 pharmaceutical products.
Al-Razi has been unprofitable since its establishment in 1994. The company has a shortage in working capital and production only went on stream in 2000, stated Ghanayem. The company recorded 6.5 million Jordanian dinars ($9.1 million) in losses in the first half of 2002 and JD 4.5 million in losses at the end of 2001.
JPM is a limited liability company established in 1978. The company is among the first five companies established in Jordan for the production of pharmaceuticals for human use. The main shareholders of JPM are the Jordan Islamic Bank with a 41.8 percent stake and Al-Tawfiq Investment Company, a subsidiary of the Dallah Al-Barakah Group with 10.6 percent stake. Its headquarters and production facilities in Naor located about 25 kilometers South-West of Amman. — (menareport.com)
© 2002 Mena Report (www.menareport.com)