A consortium of companies requests to acquire 90% of the Egyptian "SODIC"

The Egyptian Financial Supervisory Authority has approved the deposit of the draft compulsory purchase offer submitted by a consortium of Aldar Ventures International Holdings RSC Limited and Gamma Forge Limited to purchase up to 320,577.631 shares of 90% of the capital of Sixth of October Development and Investment Company - SODIC, listed on the Egyptian Stock Exchange.

According to Arabiya Net, the authority stated in a statement, that the offer is at a cash price of 20 pounds per share, with a minimum implementation limit of 51% of the company's shares targeted for the offer, in accordance with the provisions of the chapter. The twelfth of the executive regulations of the Capital Market Law No. 95 of 1992.

The authority added that it is in the process of studying the presentation.

SODIC's stock interacted positively with the offer, rising by 5.29% at a price of 18.9 pounds on the Egyptian Stock Exchange, during that time.

This is the second offer to buy SODIC during the current year, and the Egyptian Financial Supervisory Authority had agreed to extend the deadline for the UAE's Aldar Properties to submit a compulsory purchase offer for all of the company's shares. Sixth of October Development and Investment SODIC, for an additional 30 days, starting from the second of August 2021, which is the date of the deadline for submitting the offer.

The authority stated in its decision that the extension of the offer period would allow ALDAR to complete the due diligence examination.

SODIC had received an offer in March from Aldar Properties to acquire, alone or in alliance with other investors, a stake of no less than 51% of the shares of SODIC, at an initial price ranging from Between 18 and 19 pounds per share.

SODIC's issued capital is 1.39 billion pounds, distributed over 349 million shares, with a nominal value of 4 pounds per share.

SODIC's ownership structure is divided among several companies (in contrast to the previous conglomerate), the most prominent of which is the Saudi Olayan Investment Company, the single largest shareholder with 14%.

A consortium that includes Hassan Allam Real Estate, Act Financial Investments, Concrete Plus Engineering and Construction, and others will acquire a 15% stake as of last February 9.

The Abanmi family will contribute 10%, Riplewood Consulting 9%, and Remco AGT Investments 7%.