The Board of Directors of Arkan Building Materials on Monday approved the conclusion of a strategic deal for the acquisition of Emirates Iron Iron Company UAE, the leading integrated manufacturer of iron and steel production in the Middle East.
According to the UAE News Agency, the Board of Directors of the company's shareholders' recommendation decided to approve the offer received from the General Holding Industries on May 9 last day to acquire Emirates Iron, full-owned industries in Abu Dhabi.
> The proposed presentation items include industries to transform total shares exporting Emirates Iron Iron to Arkan, to issue Arkan for industries in contrast to mandatory and automatic convertible bonds to 5.1 billion ordinary shares in Arkan when closing the transaction.
The offer determines the price of convertible bonds to shares in Argan with AED 0.798 per share. After completing the deal, industries will have 87.5% of the total exporting shares of Arkan.
HE Engineer Jamal Salem Al-Dhahri, Chairman of Arkan.
The company does not spare an effort to seize emerging opportunities in the construction and construction materials. The acquisition of Emirates Iron acquisition contributes to our ambitions by uniting two of the leading sector companies in the UAE and thus helped expand our product portfolio and increase our sales.
The deal was promising to achieve a rewarding cumulative value for Arkan's shareholders; Where both the balance sheet and financial performance of the company, enhances its international business, and provides them with the necessary ingredients to become a platform for investment in a major regional sector and play a major role in the UAE's industrial strategy of 300 billion.
The group will benefit from recovery in the UAE and the region in general after the expiration of the Kovid-19 pandemic, as well as through the sectors of building materials and regional construction, which is expected to have been accelerated in the implementation of infrastructure projects as a result of locally and regional stimulus programs.
It is worth mentioning that the deal will be presented to the General Assembly of Arkan to consider approval, which is subject to shareholders and regulators concerned.
