PIF invests in the Middle East Paper Co

The Public Investment Fund (PIF) has announced the completion of a deal to invest in the Middle East Paper Company (MEPCO), a leading manufacturer specialized in producing and recycling paper-based products in the Middle East and North Africa. PIF has acquired a 23.08% stake in MEPCO by way of a capital increase and subscription to new shares.

Through its investment, PIF will enable MEPCO to expand its production, raise its operational efficiency, and support environmental sustainability, through recyclable products – including paper goods – in line with the sustainability goals of both Saudi Arabia and PIF.

The investment will further contribute to achieving MEPCO’s expansion strategy, especially for packaging and specialised building materials like gypsum boards, strengthening the local supply chain for current and future projects. PIF has a diversified portfolio of investments in the construction services sector to support the sustainable growth of the Saudi economy, attract local and foreign investments, expand operational capacity and transfer technology.

Muhammad Aldawood, Head of Industrials and Mining Sector in MENA Investments at PIF, said, “PIF’s investment in MEPCO reflects the attractive opportunities for growth in promising sectors such as recycling, retail and building materials. This investment enables MEPCO to expand its sustainable production activities while focusing on high value-added products and growing its export activities.”

Eng. Sami Al Safran, CEO, MEPCO, commented, “PIF’s investment further enables the implementation of our expansion strategy and captures significant growth potential, both locally and regionally. This will help create new opportunities, as MEPCO continues its journey to become a national champion in our industry. Our company strives for sustainable growth and a better future, thanks to its unique strategy which integrates paper products and waste management. MEPCO is investing in the sector through ambitious projects to support Saudi Arabia’s goals of sustainability and transition to a circular economy by recycling, reducing waste and converting waste into energy sources to meet our business needs.”

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