Shareholders send clear message backing firm’s transformation into an investment holding company; capital increase on track to close in the coming three weeks.
Shareholders of Citadel Capital (CCAP.CA on the Egyptian Exchange), the leading investment company in Africa and the Middle East, met yesterday for Ordinary and Extraordinary General Meetings, ratifying in the process key resolutions related to the firm’s ongoing capital increase, which will see total issued capital rise to EGP 8 billion.
At an Extraordinary General Meeting, shareholders in attendance voted to approve continuing the ongoing second phase of a capital increase, which will see the Firm’s issued capital rise by EGP 3,641,875,000 to EGP 8,000,000,000 from a present EGP 4,358,125,000. All outstanding and unsubscribed shares from the first round of the subscription process may be acquired by shareholders through cash deposits or in exchange for the shares’ value in liabilities owed to them by the Firm and attested to by a report from the firm’s Auditor of Record.
“The fact of the meeting having attracted a quorum of 57.19% of all issued shares — the highest attendance at a Citadel Capital general assembly in the past three years — is a clear vote of shareholder confidence in our ongoing transformation into an investment holding company that will stand as an African leader in infrastructure and resources,” said Citadel Capital Chairman and Founder Ahmed Heikal.
The firm expects the second subscription round for the capital increase to be fully subscribed and completed within the coming three weeks.
The firm’s independent auditor (KPMG / Hazem Hassan) has previously certified EGP 3.7 billion in liabilities to co-investors and shareholders, mainly arising from investment purchases by the firm. Citadel Capital will capitalize an amount equivalent to the uncovered portion of the ongoing capital increase.
The firm’s Ordinary General Meeting, held immediately before the EGM, approved the Citadel Capital’s FY 2013 Standalone Financial Statements and other standard business attendant to the closing of the 2013 business year and the opening of the current fiscal year.