Beltone takeover bid: UAE’s Chimera offers acquisition above WM Consulting price

Chimera's offer is about 10% higher than its Egyptian competitor’s
Beltone takeover bid: UAE’s Chimera offers acquisition above WM Consulting price
Abu Dhabi, UAE

The bids to take over the Egyptian financial company Beltone, which is affiliated with billionaire Naguib Sawiris, appear to be heating up.

According to the Egyptian Financial Regulatory Authority (FRA), Chimera’s Investments submitted a bid to acquire the shares of Beltone Financial Holding for 1,485 pounds per share.

According to Bloomberg, Chimera’s mandatory, non-binding offer is about 30 percent higher than the closing price of Beltone’s shares on the Egyptian Stock Exchange (EGX) on Sunday, which was registered at 1.14 Egyptian pounds (EGP). This brings the total price of the deal to around 596 million pounds in the event of a successful acquisition of 90 percent of the company at the current price. Beltone’s shares are owned by Orascom Financial Holding Company, which holds 58 percent of the company.

FRA said that the offer includes acquiring no less than 51 percent to 90 percent of Beltone’s shares.

The company decided to submit the final offer as soon as the relevant internal and administrative approvals were obtained from the concerned authorities in Egypt and the UAE.

UAE’s Chimera will compete with the Egyptian consortium WM Consulting, which is attempting to acquire Beltone for 1.35 pounds per share, as reported last week, and thus the Emirati offer is about 10 percent higher than the Egyptian group’s offer.

Beltone Financial Holding is one of Egypt’s leading financial institutions, with approximately 18 companies specializing in investing, asset management, securities, and subscription coverage. It has a capital of 891.3 million pounds, which is divided into 445.6 million shares with a nominal value of 2 pounds per share.

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