Egyptian Exchange stock market . AFP
Over the past month, National Paints had been competing with Egypt-based Eagle Chemicals to acquire 100 percent of the company's shares.
The company is among the 32 state-owned companies Egypt had offered as investment opportunities for local and foreign investors.
PACHIN, which is already listed on the Egyptian stock market, is the first in the list to be tapped by investors.
Prior to Tuesday’s deal, the Egyptian government owned 55 percent of the company’s shares.
This acquisition aligns with Egypt's goal of raising the private sector's share in the country's economic activity and development process to 65 percent, up from the current 30 percent, over the next three years. This aims to increase the private sector's contribution to the country's GDP, investments, operations, exports and governmental revenues.
Moreover, this acquisition represents a clear commitment from the Egyptian government to the International Monetary Fund (IMF). Under the $3 billion loan deal signed last year, Egypt has committed to generating $2 to $2.5 billion in revenue to fund budget deficits by selling stakes in state-owned assets.