Emirati "Aldar" bidding to acquire majority stake in Egyptian "SODIC"

CAIRO – 15 March 2021: Sixth of October Development and Investment Company - SODIC said that it had received a letter from Abu-Dhabi-based company Aldar Properties, containing a non-binding initial offer for a potential cash acquisition of a stake of not less than 51 percent of the company's issued capital shares.

SODIC added in a statement to the Stock Exchange, Sunday, that the estimated purchase price is between LE 18 and LE 19 per share, through a compulsory purchase offer on the entire company's shares.

It pointed out that the potential offer, in the event that it proceeds, will be presented through a company or companies with a special purpose established for this purpose by the company, either individually or collectively, with a coalition of investors, and the majority of its capital will be owned and controlled by the company.

The company requested that a comprehensive due diligence examination be made available to the company and its subsidiaries.

The Sixth of October Development and Investment Company (SODIC) achieved, during the first nine months of 2020, a net profit of LE 537.84 million, compared to profits of LE 506.09 million during the same period of the previous year, taking into account the minority rights.

The company's revenues declined during the first nine months of 2020 to reach LE 3.15 billion, compared to LE 3.4 billion, during the same period of the previous year.