Arab Real Estate Development Co. is being currently valuated, to be acquired by Golden Pyramids Plaza. The step comes as part of the restructuring process of South Valley Cement investments
, announced last March, Al Mal magazine was informed.
The cement manufacturer will be divided into two companies; the first will operate in cement manufacturing and the second will operate in financial investments. In addition, the second company will acquire the first and 76% of Golden Pyramids and its subsidiaries.
Companies, which will be purchased by Golden Pyramids, have not yet been announced.
In addition, Arab Real Estate was valuated last year; a step prior to be acquired, yet the acquisition was postponed owing to repercussions of the global financial crunch, Al Mal said.
On the other hand, the acquisition will be effected, through a share swap; accordingly, South Valley Cement will acquire the fast-growing realty developer. Established in mid-2005, Arab Real Estate increased its diversified land bank from 160 feddans and 672000 meters, bought from SODIC, to nearly 34 million meters.
The cement manufacturer held its shareholder meeting on March 11th. Shareholders approved dividing the company into two companies operating in financial investments, as well as cement and building material manufacturing.
The company operating in financial investments will buy the other company, through a share swap.
Finally, shareholders also gave the go-ahead for acquiring a minimum of 76% of Golden Pyramids, through a stock swap, pending discussion in another meeting.