SAGIA grants Pfizer 100% ownership of KSA business

Updated 29 July 2016

SAGIA grants Pfizer 100% ownership of KSA business

RIYADH: Saudi Arabian General Investment Authority (SAGIA) granted the US pharmaceutical company Pfizer Inc. 100 percent ownership of its business in the Kingdom to, among other things, import, export and trade in products, permitting a supply of quality innovative and essential medicines directly to the Saudi market.
The new license is effective immediately.
Majid Al-Qassabi, minister of commerce and investment, and chairman of SAGIA’s board of directors, said: “As one of the international companies investing in the Kingdom, Pfizer has been granted a trading license with 100 percent ownership, a step that will contribute to the expansion of its activities for the Saudization of the pharmaceutical industry in Saudi Arabia.
"The company proposed a distinct action plan for future projects and the Saudi government looks forward to providing Pfizer with the support it needs, as part of an effective partnership between the public and the private sector in order to achieve the development goals of the Kingdom, which are crystallized by Vision 2030, and part of which aims to enhance the role of the private sector in the Saudi economy.”
Pfizer plans to open in 2017 a facility in the King Abdullah Economic City to manufacture 16 of its leading medicines.
The trading license will also allow the company to consider many other investment projects aimed at advancing the health care goals of the National Transformation Program (NTP 2020), which is the first phase of Vision 2030, spearheaded by the Council of Economic and Development Affairs (CEDA) chaired by Deputy Crown Prince Mohammed bin Salman.
John Young, group president, Pfizer Essential Health, said: “We are honored to be one of the first companies to receive fast-track approval of a trading license.
"This is yet another step in our long-term commitment to the Kingdom and a reflection of our shared commitment, with the government, to provide a continued reliable supply of innovative and essential medicines to Saudi patients.”
He underlined that Pfizer’s obtaining the trading license from the SAGIA demonstrates the shared commitment to developing the Kingdom’s healthcare market.
“Pfizer Inc. has set the standard for quality, safety and value in the discovery, development and manufacture of healthcare products and its global portfolio includes medicines and vaccines as well as many of the world's best-known consumer healthcare products,” said Young.


Bailout will keep Air France-KLM afloat for less than year: CEO

Updated 21 September 2020

Bailout will keep Air France-KLM afloat for less than year: CEO

  • ‘If we base it upon the past few weeks, it is clear that the recovery in traffic will be slower than expected’
  • Governments are coming under pressure to tie airline bailouts to environmental commitments

PARIS: Bailouts provided to Air France-KLM by the French and Dutch governments will keep the airline flying less than a year, its CEO Benjamin Smith said Monday and evoked the possibility of injecting new capital.
In an interview with the French daily l’Opinion, Smith also warned that calls for airlines to contribute more to fight climate change could be catastrophic for their survival which is already under threat due to the coronavirus pandemic.
When countries imposed lockdowns earlier this year to stem the spread of the coronavirus airlines faced steep drops in revenue that have claimed several carriers.
A number of countries stepped in with support, including France which provided $8.2 billion to Air France and the Netherlands which received a $2.9 billion package.
“This support will permit us to hold on less than 12 months,” said Smith.
The reason is that air traffic is picking up very slowly as many northern hemisphere countries are now fearing a second wave of infections.
“If we base it upon the past few weeks, it is clear that the recovery in traffic will be slower than expected,” according to Smith, who said when the bailout was put together the airline was expecting a return to 2019 levels only in 2024.
Smith said discussions were already underway with shareholders on shoring up the airline group, and steps would be taken before the next regular annual meeting in the second quarter of next year.
“One, three or five billion euros? It is too early to put a figure on a possible recapitalization,” he said.
The airline group had $12.12 billion in cash or available under credit lines.
Major shareholders include the French government with a 14.3 percent stake, the Dutch government at 14 percent, as well as Delta and China Eastern airlines which each hold an 8 percent stake.
Governments are coming under pressure to tie airline bailouts to environmental commitments.
One proposal that has come from a citizen’s convention convoked by President Emmanuel Macron would cost airlines an estimated $3.6 billion.
Smith said the imposition of environmental charges on the industry would be “irresponsible and catastrophic” for Air France-KLM.