UAE-based Chimera to acquire 45% of Ghabbour Auto’s subsidiary GB Lease for $34.6 mln

Doaa A.Moneim , Tuesday 20 Dec 2022

Abu Dhabi-based Chimera is set to acquire a 45 percent share of GB Lease, which is owned by Egypt-based GB Capital for Financial Investment, itself a 99.99 percent owned subsidiary of GB Auto, for EGP 855 million, or around $34.6 million, Egypt’s Exchange (EGX) announced on Tuesday.



The company submitted a transaction disclosure to the EGX on Sunday.

According to the disclosure, GB Capital will remain the majority shareholder of the GB Lease with 55 percent of shares.

To support Egypt’s economy, the UAE is expanding investment in the country with a special focus on real estate, food processing, financial services and transportation.

In July, Chimera purchased 259,121,683 shares of Belton Financial Holding – a subsidiary of Orascom Financial Holding – which is owned by well-known Egyptian millionaire Naguib Sawiris.

Also in July, Abu Dhabi-based food and beverage company Agthia acquired a 60 percent stake in Egypt-based Auf Group – a snacks and coffee manufacturer.

Agthia is owned by Abu Dhabi Developmental Holding Company (ADQ).

Moreover, the company also acquired a 75 percent stake in Egypt-based meat processor Ismailia Investments – also known as Atyab – in September 2021.

In April, ADQ invested about EGP 28.5 billion ($1.8 billion) to acquire shares of five major publicly traded Egyptian companies.

In addition, Abu Dhabi Ports Group announced in July that it reached an agreement to acquire 70 percent of the shares of the International Cargo Subsidiary, which is wholly owned by Egypt-based Transmar and Transcargo International (TCI).

Under the industrial partnership initiative between Egypt, the UAE, Jordan, and Bahrain, the UAE’s government announced an investment fund of $10 billion for joint projects with Egypt and Jordan to achieve sustainable economic development among the three countries.

UAE investments in the Egyptian market inched up during the first half of 2022 to post $1.9 billion, representing 169 percent year-on-year growth, compared to $712.6 million recorded in the corresponding period of 2021, recent data published by the Central Agency for Public Mobilisation and Statistics (CAMPAS) showed.

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