M&A WATCH- Ebtikar-led consortium acquires ODE’s stake in Tamweel: A consortium made up of B Investments’ Ebtikar, TCV, and Acquire for Investment acquired Orascom Development Egypt’s (ODE) full 87% stake in Tamweel Group on Thursday. The transaction valued Tamweel at EGP 360 mn, ODE said in a regulatory filing (pdf). “The sale will enable ODE to deconsolidate the related debt of Tamweel Group, which stood at EGP 1.1 bn as of 31 March 2018,” the company said. ODE has been divesting its non-core assets to reduce its debt burden.
Tamweel is the latest addition to Ebtikar’s portfolio of businesses in the non-banking financial services sector, where it’s looking to grow its presence and market share. “The acquisition of Tamweel Group is a pivotal step in the integration of Ebtikar’s strategy to expand the company’s operations,” Chairman Aladdin Saba said in a Thursday release (pdf). “This is Ebtikar’s third investment after completing investments in T.B.E Egypt for Payment Solutions and Services “Bee” and Vitas Misr for Microfinance since inception in 2017.”
Advisors: EFG Hermes Investment Banking was ODE’s exclusive advisor on the transaction. Zaki Hashem & Partners advised Ebtikar and TCV on the acquisition, while TMS Law Firm represented Acquire.
