The Egyptian Ministry of Investment (MOI) has drawn back its original strategy to sell Alexandria Mineral Oils Company (AMOC) stake as it decided to set the price of a 50% stake in AMOC at LE95 per share for the 43 million shares offered, reported the Daily Star.
In October 2005, AMOC was offered for privatization for the first time as its 20% stake offering on the Cairo and Alexandria Stock Exchange (Case) drew 27 times the number of shares offered.
In last May, the National Bank of Egypt was officially authorized by the MOI to sell a 50% stake in AMOC, based on the Central Bank’s plan to reduce the involvement of the public banking sector in non-financial sectors. Around 13 companies initially showed interest, however “just five conducted due-diligence exercises, including Citadel Capital and Waleed Bin Talaal’s Aziziya.”
According to AMOC’s released financial results for Q1 2007, net income increased from LE180.5 million to LE232.3 million, scoring a raise of 28.7% compared with the same period the previous year. In June, the company’s year-end results showed an increase of 52% in 2005/2006 revenues, while the net income jumped in 2006 to LE796 million from LE518 million in 2005.
(Daily Star)