January 1st, 2011
Arabian Business: The prospect of seeing Arab-made cars on the Gulf’s roads moved a step closer on Wednesday when a group of Saudi and South Korean companies agreed to invest $500m in a Riyadh auto plant.
Follow up:Al Muwakaba for Industrial Development & Overseas Commerce, the holding company known as Midroc, will invest $275m in the plant in exchange for a 55 percent stake, Saudi Press Agency said.
Riyadh Techno Valley, the investment arm of King Saud University (KSU), has a 15 percent stake and South Korea’s Digm Automotive Technology a 30 percent stake, SPA said.
A third of the manufacturing plant will be dedicated to manufacturing low-cost cars, which will range in price from SR35,000 ($9,332) to SR45,000 ($11,999) and the remaining two-thirds will be used to make spare parts. Read more at Arabian Business.....