Cairo – Mubasher: Raya Holding for Financial Investments has obtained preliminary approval from the board of directors to proceed with acquiring 100% of the shares of Itsalat International – Egypt (i2) and United Retail Company (URC) from Bahrain's DTR Distribution LLC.
The acquisition will be executed through Raya Holding’s subsidiaries, Raya Distribution and Raya Electronics, according to a bourse disclosure on Sunday.
This move will contribute to enhancing the presence of Raya Trade line of business in the mobile and consumer electronics market in Egypt.
The deal is projected to be financed partially through debt and partially through equity as the board of Raya Holding approved a capital increase for Raya Distribution.
Raya Trade has completed the financial and legal due diligence process and is currently negotiating the commercial terms of the deal.
Last week, Raya Holding announced plans to acquire 100% of Itsalat International – Egypt and United Retail Company.
During the first nine months of 2020, Raya Holding for Financial Investments incurred net losses of EGP 53.69 million, down from EGP 58.16 million in the year-ago period.
