Cairo - Commercial International Bank ("CIB") and Al Arafa for Investments and Consultancies ("Arafa Holding") announce the signing of the final agreements relating to CIB's purchase of a 38% secondary stake in Concrete for Ready-Made Garments S.A.E. ("Concrete"), a subsidiary of Arafa Holding, at a total deal size of EGP 152 million for the purchased stake. Post-acquisition, Arafa will remain the major shareholder of Concrete with 52% stake.
Arafa Holding announced during the first quarter of this year receiving an offer from the reputable bank for the purchase of a 38% stake in Concrete. After completion of the due diligence process and the study of the offer by both Concrete and Al Arafa Holding managements, the offer had been accepted and final agreements have been signed with CIB for the purchase of a 38% secondary stake at a deal value of EGP 152 million in cash which is in line with the initial offer Arafa received early in the year.
About CIB:
Commercial International Bank (CIB) is the leading private sector bank in Egypt, offering a broad range of financial products and services to its customers which include enterprises of all sizes, institutions, households and high-net-worth (HNW) individuals. In addition to traditional asset and liability products, CIB offers wealth management, securitization, direct investment and treasury services, all delivered through client-centric teams. CIB's "Direct Investment Group" is the division mandated to allocate, invest, manage and divest the bank's direct investments in equities of private companies operating mainly in Egypt. DIG invests significant minority stakes (up to 40%) in privately owned companies having high potential for growth through clear business models, competent management, aligned shareholders and solid fundamentals. The group is aggressively perusing to expand its portfolio size by selectively adding quality investments within the coming period leveraging on a robust pipeline of deals.
About Concrete:
Concrete - the local arm of Arafa Holding in the retail business - is a joint stock company with a 47 branch network and a total retail area of more than 9,000 square meters. The Company achieved net sales of EGP 205 million and EGP 96 million during FY 2011 and H1 2012 respectively.
Concrete's product lines include menswear and kidswear in addition to the newly added special tailoring "Made-to-Measure" service recently added to cater for customers' needs offered through its flagship store in Mohandesin.
About Al Arafa for Investments & Consultancies
- Al Arafa for Investments and Consultancies is a leading player in the textiles industry operating a vertically integrated business model that places the Group as one of the largest export oriented and integrated apparel and textiles manufacturers in Egypt and the Middle East, and a prominent apparel retailer and wholesaler in Egypt and the UK.
- Our local retail operations include Concrete brand in Egypt, while our foreign retail operations include the Baird Group as a sub-holding Company that holds a market share of 12% of the UK suits market in the United Kingdom. Moreover the company holds a 35% stake in Gruppo Forall the Italian company owning the prestigious brand PAL ZILERI.
Investor Relations| Arafa for Investments and Consultancies
15 St. Near North Area, Nasr City Public Free Zone - Cairo - Egypt | www.arafaholding.com
Tel: +2 02 22731093-95-98| Fax: +2 02 22731124
E-Mail: ir@arafaholding.com
© Press Release 2012
