Egytrans, a prominent player in logistics and transportation solutions, revealed in a press briefing on Tuesday that, after an extraordinary general assembly on 9 July, its shareholders have unanimously greenlit the acquisition of 99.9 percent of the National Transport and Overseas Services Company (NOSCO) through a share swap.

The combined entity, to be christened 'Egytrans NOSCO,' will have a combined capital of 224.9 million Egyptian pounds.

Egytrans said in a statement that the acquisition entails exchanging one Egytrans share for 0.0447 shares of NOSCO.

Closure of the transaction is slated for the fourth quarter of 2023.

The statement said Gamal Moharam will continue as Chairman of the combined company, while Abir Leheta will take on the role of CEO of Shared Services, and Mohamed Nadim will assume the position of CEO of Commercial & Operations.

Leheta elaborated that the acquisition of NOSCO represents a transformative opportunity for Egytrans, as NOSCO's proficiency in project logistics and land transport aligns synergistically with Egytrans' strengths.

"Together, we will be able to offer our customers a wider range of services and solutions, and we will be well-positioned to capitalise on growth opportunities in the Egyptian market and beyond," she said.

In a separate press statement, Egytrans said the acquisition would expand its presence in the projects and land transport markets, bolster warehousing and fleet capacities, and tap into a large joint customer base.

Leheta told Zawya Projects that the combined entity would have a 50 percent share of the Egyptian market for project logistics and land transport. She also disclosed that the new entity will look at Saudi Arabia as a potential market for its services.

The press statement said the acquisition positions Egytrans NOSCO to leverage market drivers, capitalise on Egypt's role as a major trading hub, and seize opportunities arising from regional infrastructure growth and the African Continental Free Trade Agreement.

(Writing by Eman Hamed; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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