MTM Packaging 2 offers to buy Egypt-based glass packaging manufacturer Middle East Glass Manufacturing at US$27.81/share for approximately US$21.5M
June 16, 2014
(IntelliNews - Weekly Reports)
UAE's Gulf Capital (GC), through MTM Packaging 2 (MTM), submitted to Egyptian Financial Services Authority a mandatory tender offer for 100% equity stake in Middle East Glass Manufacturing (MEGM) at USD 27.81 per share, Al Mal newspaper reported.
In April, MAC Investments, which holds a 92% equity stake in MEGM, agreed to respond to the mandatory tender offer to the extent that allows MTM to acquire 19.35% of MEGM's capital. MTM's offer values MEGM at around USD 21.5mn. Upon completion of the transaction, MTM has committed to subscribe in full to MEGM's EGP 200mn (USD 28.69mn) capital increase. HC Investments is advising the seller and will also undertake advisory work for the prospective capital increase.
MEGM's EGP 40mn capital is distributed over 4mn shares. It made EGP 1.1mn loss in Q1 2014 compared with EGP 4,500 profit in Q1 2013.
MTM Packaging 2, a company incorporated under Cayman laws and owned by GC Equity Partners II, is a private equity fund managed by Gulf Capital. Gulf Capital is a leading alternative asset management company focusing primarily on late-stage control buy-out, growth capital, real estate development and credit business.