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Cairo Oils and Soap, one of Egypt’s oldest companies specialized in edible oil production, confirmed that talks are taking place with an investor regarding the sale of a stake in the company’s capital.
Al Shorouk had previously reported, citing a verified document, that Cairo Oils and Soap had offered to bring in a foreign investor, particularly an Arab investor, to support the company’s expansion plans in exchange for selling a stake that could reach a controlling share.
The company said in a disclosure to the Egyptian Exchange, in response to the report, that it had already held talks with an investor to buy a stake in its capital.
The meeting took place at the headquarters of the General Authority for Investment and Free Zones.
However, the company stressed that no agreements of any kind have been reached so far.
According to the document published by Al Shorouk, the Egyptian company, founded more than half a century ago, is offering a foreign investor the chance to participate in developing a project on land representing 25% of the company’s total factory area in northern Egypt, between the Nile River and the Western Desert.
The expected investment value is around EGP500 million.
In return, the investor would receive a certain percentage or acquire a controlling stake.
Konsoukra for Commercial Agencies and Technical Consultations owns 54.6% of the company’s capital, while the remaining shares are held by investors on the Egyptian Exchange.
The number of listed shares on the market is around 3.1 billion shares.
Source: Al Shorouk