EXCLUSIVE: Ashry Steel wants to finalise acquisition of ARCOSTEEL early 2022 – sources

Ashry Steel Group, one of the largest steel manufacturers in Egypt, looks to finalise its acquisition of the Arab Company for Special Steel (ARCOSTEEL) by January 2022, sources familiar with the deal said on Thursday.

The company seeks to buy a 100 percent stake of ARCOSTEEL as part of an expansion plan for the local market, the sources told Amwal Al Ghad, asking not to be named because the details of the deal has not been made public yet.

In June, Ashry Steel agreed to buy stakes of three shareholders of ARCOSTEEL.

The company is looking to complete all the executive steps ahead of acquiring 100 percent of ARCOSTEEL, the sources added.

ARCOSTEEL’s shareholding structure consists of the National Bank of Egypt (NBE), which is the biggest shareholder, in addition to the National Investment Bank (NIB), Industrial Development Bank, Misr Insurance, Metallurgical Industries Holding Company, Egyptian Reinsurance Company (EGYPT RE), Egyptian General Petroleum Corporation (EGPC), and Suez Canal Authority.

The sources did not want to disclose the value of the price or the terms because the deal has not been made public yet.