ACC News Coverage 2014

ACC CEO: Floating 22.5% of the Company high potential for economic recovery 

 

April 22, 2014

 

 

 

 

Jose Maria Magrina, the chief executive officer of Arabian Cement Co., said that the Company has carefully studied the decision to float a stake of the Company's shares on the Egyptian Exchange. Despite a series of decline in the index, the board's decision is final because we are betting on the promising futuristic opportunities, especially as this is first IPO since January 25th Revolution, Maria added. Magrina expected stability and economic recovery following the presidential elections. ACC CEO said that the Company will float a stake of 22.5% of ACC capital worth EGP 757 Mn, divided among 378 million shares with a nominal value of EGP2/share, noting that the IPO prospectus will be announced on April 28th. ACC CEO had told Reuters that the trading will start on May 14th. ACC CEO noted 11% of the offered shares will be allocated to local institutions through private offering, and the other half to investors through public offering. ACC's capital is EGP 757 million; 60% of which is owned by the Spanish company, Cementos La Union, 22% is owned by Degla for Engineering and Industrial Development, and the rest is owned by Al Boriny Family.

 

The Company has been listed few months ago, as a precursor to the IPO at the beginning of this year but it was adjourned due to not completing the necessary procedures. EFG Hermes and CI Capital manage the IPO. Cementos La Union is one of the multi-national companies and has plants in many countries like France, and Dominican.