Medhat Khalil, Raya Holding’s Chairman is set to submit an offer to acquire 100% of the company today after the date set by a Financial Regulatory Authority (FRA) has ended.
However, Chief Financial Officer at Raya Hossam Hussien told Amwal Al Ghad that Raya Holding won’t request a delisting from the Egyptian bourse, expecting that 10 percent of the company’s stakes will remain for free trading in the money market after Khalil and his related parties control a combined shares of 90 percent.
Hussien has refused to reveal the expected value of the deal because of the trades on Raya’s share.
It is worth to mention, the Financial Regulatory Authority (FRA) asked Medhat Khalil to submit a regulatory tender offer to acquire 100% of Raya, according to article number 353 of the law no. 95 for the year 1992.
Khalil says he and family members control 32% of shares, less than the 33% required to trigger an (a mandatory tender offer) MTO, but the Financial Regulatory Authority (FRA) FRA decided to count the 10% stake owned separately by his brother-in-law as a related party, bringing the Khalil group’s total stake at 42%.