On March 10th, 2019 Saudi Arabian Amiantit Co. signed a memorandum of understanding for the sale its 30% ownership in Subor Boru Sanayi ve Ticaret A.Ş. (Subor) and Subor Gap Boru Sanayi ve Ticaret A.Ş(Subor Gap) for an amount of USD 2,400,000 (approximately SAR 9.0 Million), to the current shareholder Yapı Merkezi İnşaat ve Sanayi A.Ş(YM). After this share transfer, Amiantit shall hold 20% of Subor shares, and thus YM, shall be the sole controlling and majority partner and Amiantit shall be the silent and minority partner.

The main activity of the companies are the manufacture of fiberglass pipes in Turkey. In addition, the agreement will be ratified during the upcoming General Assembly in the coming weeks. In addition, the accounting for the remaining share of the investment in the two companies will continue to follow the equity method for associate investments.

If approved, the sale will generate a net capital gain of approximately SAR 0.53 Million in the first quarter of 2019.