Riyadh - Mubasher: Jamjoom Pharmaceuticals Factory (Jamjoom Pharma) announced that its joint venture in Algeria, Jamjoom Algeria, in which the company owns a 49% stake, has signed a short-term, Sharia-compliant revolving banking facility agreement with Al Baraka Bank.

The company explained, in a statement on the Saudi Stock Exchange (Tadawul) on Monday, that the value of the facilities amounts to 1.2 billion Algerian dinars, equivalent to 34 million Saudi riyals.

She pointed out that to support the issuance of these facilities, the company provided a bank guarantee in favor of the bank in accordance with Algerian law and in proportion to the company's share in the joint venture, with a guarantee value amounting to 590.94 million Algerian dinars (16.65 million Saudi riyals).

She also noted that the banking facilities aim to finance Jamjoom Algeria's short-term working capital requirements.

The company noted that Jamjoom Algeria is a related party, as the company's board members, Mahmoud Youssef Jamjoom and Ahmed Youssef Jamjoom, have a direct interest by virtue of their membership in the board of directors of Jamjoom Algeria, while members Youssef Mohamed Salah Jamjoom, Mohamed Youssef Jamjoom, and Alaa Youssef Jamjoom have an indirect interest.