Saudi International Petrochemical Co (Sipchem) has agreed to pay $100.2 million to raise its stake in two local subsidiaries, it said on Wednesday.

The firm will buy stakes owned by Kuwait’s Ikarus Petroleum Industries Co in International Acetyl Company and International Vinyl Acetate Company.

Both companies operate plants for production of acetic acid and acetic anhydride and vinyl acetate monomer, located in Saudi Arabia’s Jubail Industrial City, Sipchem said in a statement to Riyadh’s bourse.

Sipchem, which already owns 76% of each of the two companies, said after the deal its equity in each would rise to 87%.

The acquisition, which would be funded through Sipchem’s own resources and Islamic financing facilities, was targeted to be completed during the third quarter of 2015, it said.

Source: Reuters