By Moustafa Adel
Cairo – Mubasher: Talks are underway to extend the duration of a buy offer submitted by OTMT’s Beltone Financial Holding for CIB’s investment banking unit CI Capital, according to CI Capital’s chief executive officer.
CEO Mahmoud Atallah told Mubasher on Monday that the extension would be ‘within a reasonable limit’, but declined to give specific duration.
CIB will have to re-offer its subsidiary for sale if the deal with Beltone fails, he noted.
Egypt’s business tycoon Naguib Sawiris, who chairs Orascom Telecom Media and Technology (OTMT) board, said Sunday the acquisition of CIB’s investment banking arm is delayed till the state’s National Security reviews the deal.
The National Security requested the stock market regulator, or EFSA, not to issue an approval on OTMT’s takeover of CI Capital till it reviews the deal, Sawiris added.
Earlier this month, OTMT board of directors approved financing through debt current accounts with a maximum of EGP 924 million to Beltone Financial Holding. This move aims to allow Beltone to finalise the acquisition of 100% of CI Capital.
OTMT said earlier that Beltone seeks to finalise the agreement to fully acquire CI Capital before the end of the first quarter of 2016, after obtaining all necessary approvals.
Sawiris also explained that investment climate is hurt by the government’s attempt to vie for CI Capital through making state-owned National Bank of Egypt offer a competitive bid.
Translated by Sayed Abdel Rahman
