Netherlands-based chemicals producer OCI said it plans to seek listing for its construction business in Egypt and the United Arab Emirates, a day after it announced plans to build a $2.5bn power plant on the red sea coast.
The company, controlled by Egypt's richest man Nassef Sawiris, has already started preparations to separate its Engineering & Construction Group and plans to list on the two exchanges during the first quarter of 2015, OCI said in an emailed statement Thursday.
The new company is expected to be named Orascom Construction Limited and will include all OCI's construction assets as well as a 50 percent stake in BESIX group, a Belgium-based construction firm. Fertilisers and chemicals will constitute OCI's core business after the spin-off and remain listed in Amsterdam, it said.
The move still requires approval from regulators, board and shareholders, the company said.
The newly formed Orascom Construction Limited will invest in infrastructure products, including a 2,000-3,000 megawatt coal fired power plant in Egypt that OCI announced yesterday. The project will cost $2.5 -- $3 billion and will be jointly developed with Abu Dhabi-based International Petroleum Investment Company.
Sawiris promised big investments in Egypt following the resolution of a tax dispute between his company and the Egyptian tax authority. OCI said Tuesday it had won its appeal in a two-year tax evasion case relating to the sale of assets to French group Lafarge.