Board of Directors of B Investments Holding, private equity company, approved the acquisition of a majority stake in Gourmet Group of Companies, one of Egypt’s food retailing and manufacturing companies, according to press statement on Wednesday.
The statement said that the transaction entails the acquisition of 40% of the share capital of Gourmet Group for cost of EGP 65m and a capital increase of up to EGP 60m, which will result in B Investments holding a 53% stake in Gourmet Group.
The statement noted that proceeds from the capital increase will be utilised to expand Gourmet Group’s frozen meat and poultry processing plant in Sixth of October, as well as growing the production capacity of its ready to eat, ready to cook, and heat and eat food solutions.
“The investment in the food processing plants will further enhance the business-to-business operations and will so enable Gourmet Group’s retail operations to lead the market in meeting the changing consumers’ habits,” the statement read.
Hazem Barakat, chairperson of B Investments said, “this is B Investments’ third investment since its IPO after completing investments in Tamweel Group and Masary through Ebtikar, B Investments’ non-banking financial services platform.”