Qalaa Holdings signed agreements to sell its entire stake in Misr Glass Manufacturing Company (MGM) and United Glass Company (UGC) for EGP 828m.
Qalaa Holdings’ ownership stake in both companies was 15.2%.
“The agreeing parties expect to finalize the closing in [the first quarter of] 2016 as soon as the purchasers complete their funding of the transactions,” Qalaa Holding said in an official statement.
This comes as part of the company’s ongoing transformation from a hybrid private equity firm into an investment company that will hold majority stakes in five core industries: energy, transportation, agrifoods, mining, and cement.
The company has divested from several non-core assets, including the Sudanese Egyptian Bank, float glass manufacturer Sphinx Glass, two metallurgy subsidiaries of United Foundries Co, and the investment bank Pharos Holding.
Qalaa Holdings reported EGP 84.7m in net losses during the second quarter (Q2) of 2015, an improvement upon last year’s reported losses of EGP 188.3m. The company reported revenues of EGP 2.08bn for Q2 of 2015, increasing by 33.7% in comparison with the same period last year.
The cement and energy sectors contributed significantly to the revenue growth, bringing in 70% of total revenues.