Jordan Glass Industries Put Up for Sale Again

The liquidation committee of the defunct Jordan Glass Industries is once again offering for sale the Maan-based company. An advertisement published in September 2004 for selling the factory did not attract any bidders.

According to committee member Mohammad Kour, the sale of the plant's investment units could be considered in the future if current efforts, to sell the company as a whole, fail.

Kour indicated that the plant's units could be used in different other industries, pointing out that this sale option is not on offer at this point.

The 507,000-square-metre plant has two electricity stations, water tanks, different equipment, an administration building, a restaurant and a unit for the treatment of sandstone, dolomite and limestone, in addition to several hangars.

The factory faced problems from the start. It was launched in line with the 1981-1985 five-year development plan along other projects for Jerash, Irbid and Aqaba.

The project started off as a private sector project to make use of Maan's raw materials.

As the JD2 million capital allocated for the project was not enough for its launch, the government intervened bringing up the capital to JD5 million and becoming a main partner in 1977.

Although the private sector contracted the French Company BSN, the production came late in 1984.

The plant imported the best technologies available in accordance contracts drawn up in 1976. However, because of the fast technological strides made between 1976 and 1984, the project did not enjoy the competitiveness advantage.

The indebtedness of the company ballooned and work was stopped at the plant more than once for technical reasons.

Except for 1988, the factory continued to post losses that reached around JD22 million at the end of 2002.

The project's initial operational plan did not include about JD8 million in maintenance costs which were needed in five year's time.

The reluctance of the government to pump extra funding put more pressure on the plant and the workers until the work was stopped at the plant in 1987.

Polish experts were sought for assistance to restart the plant's operations but that was not economically feasible in light of the development in the glass industries in nearby countries.

A number of studies confirmed that restarting the project's operations requires around JD10 million.

600450 Jordan Glass Industries Put Up for Sale Again
Date: 13 May 2005

See more news about:

Others also read

Emirates Glass, a Dubai Investment subsidiary, has won a major contract to supply 140,000 square meters of its premium glass to the prestigious development on the Palm Jumeirah, reaffirming its already established reputation as the single most prominent company in the entire regional glass industry.The deal was announced during the company's participation in the prestigious Big 5 show, the largest annual venue for the entire Middle-East glass contracting industry.
Isra Vision Systems AG supplier of machine vision systems, has successfully improved its market position in display glass inspection with a major order totalling 1.8 Mio Euro.
Packagers such as the UK's Rexam and private equity firms are set to vie for pump-sprayer business Calmar, which France's Saint-Gobain (SGOB.
Jain Scientific Glass Works, manufacturers of glassware for laboratories, is importing glass as raw material from China, which was much cheaper than the local product and abundantly available.
The National Lime & Stone Co. will discontinue production of calcined lime early next month at its Carey plant, the company CEO announced Thursday.
Japan 1 2 1 S. Korea 6 6 3 Southern Taiwan 4 2 0 Central Taiwan 0 4 2 AGC Japan 0 1 1 Taiwan (Yunlin) 1 1 1 Source: PIDA (Photonic Industry & Technology Development Association) Taiwan TFT-LCD Panel Makers Happy to See Substrate-price Falls in 2006 Taipei, Dec. 27, 2005 (CENS)--Both of the world's top-two glass-substrate makers are actively expanding their production capacity in Taiwan, which is expected to cut substrate transportation time and cost for local thin film transistor-liquid crystal display (TFT-LCD) panel makers and boost production efficiency, according to Michael Wang, project manager and senior analyst of Taiwan's PIDA (Photonic Industry & Technology Development Association).According to Wang, Asahi Glass Co. (AGC) of Japan has solved problems in lowering the defect-free rate for the production of fifth- and sixth-generation (5G, 6G) glass substrates, and is expected to tap the market with products with higher price competitiveness in 2006 to grab more market share in the 6G substrate businessIn addition, Wang added, the aggressive capacity added by both Corning of the U.S., the world's No. 1 substrate supplier, and AGC, the No. 2, will lead to price drops for glass substrates and will especially benefit TV panel makers such as AU Optronics Corp. (AUO) and Chi Mei Optoelectronics Corp. (CMO) in TaiwanCurrently, Wang pointed out, a 6G substrate is priced at about 27,000 to 30,000 Japanese yen, about 1,000 to 2,000 yen lower than in the third quarter of 2005.

Add new comment