[ad_1]
DUBAI, July 14 (Reuters) – United Arab Emirates meals and drinks group Agthia stated on Thursday its board accredited a proposed acquisition of 60% of Egyptian snacks firm Abu Auf Holding value 2.92 billion Egyptian kilos ($154.99 million).
Agthia (AGTHIA.AD), majority owned by the Abu Dhabi authorities by means of state investor ADQ, has since late 2020 made a string of acquisitions within the area, together with beforehand in Egypt, because it seeks to turn into one of many prime meals business gamers within the Center East.
ADQ’s acquisitions in Egypt embody shopping for $1.85 billion value of stakes in 5 listed corporations in April. In Might, the UAE’s state information company stated ADQ will allocate $10 billion in funding for tasks with Egypt and Jordan, together with agriculture, prescribed drugs, minerals, petrochemicals and textiles. learn extra
Register now for FREE limitless entry to Reuters.com
Agthia is looking for to amass the bulk stake in Abu Auf, also called Auf Group, by means of its subsidiary AG Synergy Holding 1 RSC Ltd (Synergy Holdco) from current shareholders Ahmed Auf, Mohamed Auf, Ayman Auf and Tanmeya Power BV, a car managed by Tanmiya Capital Ventures (TCV), it stated in a inventory alternate submitting.
After completion of the deal, which is topic to regulatory situations, the founders will maintain 30% and TCV, an Egyptian non-public fairness agency which invested in Abu Auf in 2019, will maintain a ten% stake.
Abu Auf is a producer, distributor and operator of retail shops and kiosks of speciality merchandise and wholesome snacks, together with espresso, nuts, dates, dried fruits, and different kitchen necessities in Egypt, Agthia stated.
It has greater than 190 branches in Egypt and sells its merchandise to grocery retailers and luxurious inns.
“Auf Group is a vital strategic goal for Agthia,” Agthia Group CEO Alan Smith stated in an announcement.
“Along with fast entry to new income streams and product traces, we’re excited to develop our presence in Egypt and utilise the acquisitions made final yr to additional strengthen our operations and market income base.”
Freshfields Bruckhaus Deringer LLP and Matouk Bassiouny & Hennawy are performing as Agthia’s authorized counsel and CI Capital as monetary adviser to Agthia.
EFG Hermes suggested Auf Group and TCV, it stated in an announcement.
($1 = 18.8400 Egyptian kilos)
Register now for FREE limitless entry to Reuters.com
Reporting by Yousef Saba. Modifying by Jane Merriman
Our Requirements: The Thomson Reuters Belief Rules.
[ad_2]
Source link