·         National Tobacco and Matches Company was established as a mixed Yemeni shareholding company pursuant to law No. 13 of 1963 regarding establishment of shareholding and joint stock companies.

According to the law, the company was granted the foundation license and its activities were defined as a monopoly for the marketing of tobacco and its products as well as matches in the country. The articles of association of the company defined its purposes as follows:

1.      Establish national cigarette and matches manufacturing for sale inside and outside the country. The manufacturing should be established within two years as of the date of the Republican Decree licensing establishment.

2.      Purchase and import different types of cigarettes, matches and tobacco for sale inside the country.

3.      Export Yemeni products of tobacco and matches and encourage the expansion of its local production.

·         On 18.01.1964, a republican decree was issued licensing the establishment of the company by a capital of YR 500,000 distributed to 100,000 shares, the value of each share is YR 5. Shareholding percentages were as follows:

Yemeni Government                                                   26%

Yemen Bank for Reconstruction and Development   25%

Public subscription                                                      49% 

·         The company started its commercial and marketing activities by importing cigarettes from different Arab and foreign countries including Egypt, China, Britain and the Unites States and marketing these products to fulfill the demand in the local market.

·         In 1972, a cigarette factory was established in Hodeidah city using Italian technology. Local production of cigarettes then started by the brands: Belquis, Saba, Yemen and Mareb.

·         In 1979, the General Assembly of the company agreed to accept a foreign shareholder. The capital increased to YR 20,000,000 and shareholding percentages became as follows:

Yemeni Government                                                   27.81%

British American Tobacco                                          25%

Yemen Bank for Reconstruction and Development   13.66%

Public subscription                                                      33.53%

·         In 1988, the General Assembly agreed to increase the capital to YR 400,000,000.

·         In 1999, the General Assembly agreed to increase the capital to YR 1,000,000,000.

·         In 2002, the General Assembly agreed to increase the capital to YR 2,000,000,000.

·         In 2004, the General Assembly agreed to increase the capital to YR 3,000,000,000 distributed to 40 million shares.

·         In 2007, the General Assembly agreed to increase the capital to YR 5,000,000,000.

·         On 08.10.2007, legal procedures at the Ministry of Industry and Trade were finalized to increase the company capital by Ministerial Resolution No. 397 from four hundred million Yemeni RIals to five billion Yemeni rials. This represents a 12.5 multiplication of the capital than the year of establishment.

·         The company has a number of branches in different provinces: Sana’a, Hodeidah, Aden, Hadramout, Taiz and Ibb selling products to its clients.