UAE's National Paints acquires Pachin's shares at LE816M
The Financial Regulatory Authority (FRA) agreed to publish the announcement of the compulsory purchase offer submitted by the UAE's National Paints Holdings LLC to acquire the shares of the paints and chemical industries company (Pachin).
The FRA stated, in a filing to the Egyptian Stock Exchange (EGX), that the offer was approved to acquire 24 million shares, or 100 percent of Pachin’s capital, with a minimum execution of 75 percent, at a cash price of LE 34 per share. This means that Pachin was valued at LE 816 million ($26.5 million).
Pachin shares rose by 4.3 percent, to LE 32.32, in the middle of Sunday's trading, after the approval to publish the purchase offer announcement.
The offer requires that Pachin employees not be laid off for a period of 12 months from the date of executing the purchase offer, except in accordance with the Egyptian Labor Law.
In January, the FRA agreed to extend the deadline for the purchase offer submitted by the National Paints Holdings LLC to acquire the shares of the Paints and Chemical Industries Company - Pachin.
It said that it was decided to extend the offer period to another 60 working days, starting from the expiration date of the first period.