Uzhimprom state company increases share capital by 1.3%

Uzbekistan Materials 31 January 2013 17:22 (UTC +04:00)

Uzbekistan, Tashkent, 31 Jan./ Trend D.Azizov

Uzbek Uzkimesanoat (Uzhimprom) State Joint Stock Company (SJC) has increased its share capital by 1.5 percent, up to 151.801 billion soum by transferring part of its retained earnings from previous years to increase the nominal value of shares, the company's management told Trend on Thursday.

Late last year, the company issued an additional share issue including a total of 13,550,043 ordinary shares at par value of 11,203 soum. The shares were placed among SJC shareholders through private subscription by way of conversion of old shares at par value of 11,063 soum into new ones.

The company directed 1.897 billion soum to increase of the authorized capital.
As reported earlier, in September, the company announced plans to increase authorized capital by 7.3 times - up to 1.1 trillion soum to increase the resource base of the company while implementing a comprehensive program to develop the industry and increase the production of competitive products.

According to the program, Uzhimprom plans to implement 11 investment projects worth $ 166 million by 2014, of which, 19.8 percent will be accounted for by the company's own funds, 29.5 percent - loans from the Fund for Reconstruction and Development of Uzbekistan, 39.7 percent - loans from Uzbek commercial banks and 13.8 percent - loans from foreign banks.
In particular, under the state investment program for 2013, Uzhimprom SJC will focus on the implementation of 12 projects worth 2.36 billion dollars. This includes the implementation of projects aimed at the expansion of Kungrad Soda Plant's capacity by 1.5 times, up to 150,000 tons of soda ash per year, increase of 42.5 thousand tons of ammonium phosphate at Ammophos-Maxam JSC, the expansion of capacity of the Dehkanbad potash fertilizer plant by 200 thousand tons, increase in production of cotton cellulose by 11,000 tons at the Ferghana chemical factory of furan compounds.

Uzhimprom was formed in accordance with the Uzbek Cabinet of Ministers' resolution (March 2001) on "Measures on improving the governance structure of the chemical industry".

Currently Uzhimprom icnludes 14 industrial enterprises, 13 regional distribution organizations involved in sales of mineral fertilizers for agriculture, scientific research and design institutes, foreign freight forwarding organization Himtrans and Himtrans Logistics, and brokerage company Hamkor-himservis.

Production capacities allow the full fulfillment of domestic demand for chemical products in Uzbekistan as well as exports.