Riyadh – Mubasher: Saudi Pharmaceutical Industries and Medical Appliances Company (SPIMACO) will sign on Thursday evening a memorandum of understanding (MoU) with AstraZeneca UK Limited to produce 17 cancer medicines. 

Scheduled to be signed in the UK, the MoU entails implementing Saudisation and transferring the technique of producing the medicines that require the state-of-the-art technology in SPIMACO’s plant in Qassim, according to a statement to the Saudi Stock Exchange (Tadawul).

Under this deal, the expertise of producing 17 drugs used in cancer and chronic disease treatment will be completely nationalised, the statement added. 

SPIMACO’s average annual sales ranged between SAR 300 million and SAR 400 million according to the dates of launching its locally-manufactured pharmaceutical products in the market.

Set to complete by the end of third quarter of 2019, the estimated cost of producing cancer drugs at Qassim plant stood at SAR 245 million, with SAR 45 million up from the previously expected amount. 

The MoU will be in effect as of the signing date, while financial impact will be announced during the coming period, SPIMACO said. 

By 10:08 am KSA time, SPIMACO’s stock rose 2.90% to SAR 30.15.