Egypt's Citadel Capital expects to sell Sphinx Glass stake for $112m

Reuters, Tuesday 13 May 2014

Buyer not yet revealed, but deal should generate over $70 million in profits after taxes, as company sheds regional assets

Egypt's Citadel Capital said on Tuesday it has received an offer for its 73.3 percent stake in glass manufacturer Sphinx Glass for $112 million and expects a deal to be completed within two months.

The investment company said it expected the proposed sale will generate post-tax cash proceeds of $73 million but declined to name the prospective buyer. It added that a due diligence assessment of the business has already been conducted.

Citadel, which has $9.5 billion under management, plans to shed holdings outside of the energy, transport, agrifoods, mining and cement sectors over the next few years and convert itself from a private equity firm into a holding company.

Citadel, which has holdings in dozens of companies, mainly in Egypt, east and north Africa, has suffered losses over the past two years partly due to political turmoil in the Arab world. 


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