ArabFinance: Sixth of October Development and Investment Company (SODIC) (OCDI) announced that majority shareholders in the company have agreed to sell their shares to the Aldar-ADQ consortium, according to an emailed press release on December 7th, 2021.

The majority shareholders hold 85.52% of SODICs issued share capital.

The Abu Dhabi investor consortium is 70% controlled by Aldar and 30% by ADQ.

Once the mandatory tender offer (MTO) is complete, the consortium will purchase 304.62 million shares in SODIC at a cash price of EGP 20 per share.

This values SODIC at more than EGP 7.1 billion, implying a transaction value of EGP 6.092 billion.

The transaction provides SODICs shareholders with immediate and substantial cash value reflecting the companys solid financial position and strong brand equity, SODICs Managing Director Magued Sherif commented.

The Aldar-ADQ consortium brings financial strength, a solid track record in institutional real estate investment, development of premium quality communities and destinations, and property management. We are pleased to welcome Aldar and ADQ as strategic investors and key shareholders in SODIC. We want to thank our existing shareholders and investors for their trust in SODIC and its management team to deliver sustainable growth and returns. We are excited to work with Aldar and are looking forward to starting a new chapter in our growth story, Magued added.

Aldar, the leading real estate developer in Abu Dhabi, sees Egypt as a main market for global expansion and it intends to invest in the country over the long term after becoming the majority shareholder in SODIC.

In 2019, Aldar launched a joint strategic platform with the Sovereign Fund of Egypt at a value of $20 billion to invest in a number of key sectors, including healthcare, utilities, food, agriculture, real estate, and financial services.

SODIC is one of the leading real estate developers in the region, with a portfolio of diversified projects in Egypt.

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