Egypt’s Ascom, the mining arm of Qalaa Holding, has approved a fair value study for its EGP 641 million ($13.6mln) acquisition of a 90% stake in fleet and logistics provider Ostool from EGX-listed Raya Holding, implying an equity valuation of EGP 712 million.

The offer of EGP 8.22 per share is about 30% above the EGP 6.3 valuation set by private advisor Fact.

Raya’s share price closed down 0.13% yesterday at EGP 7.47, while Ascom was up 14.1% at EGP 57.1 apiece.

The transaction remains subject to shareholder and regulatory approvals.

(Writing by Ahmad Mousa; editing by Seban Scaria)
Ahmad.mousa@lseg.com