Qalaa Holdings on Wednesday said that its subsidiary, Asec Cement, has signed a memorandum of understanding (MoF) with Groupe industriel des ciments d’Algérie (GICA) to exit from the Algeria-based Zahana Cement Factory.
Upon the MoU, the GICA will purchase Asec’s stake in Zahana, the company highlighted in a filing to the Egyptian Exchange (EGX).
The transaction is expected to take place prior to mid-2019 after setting the fair value of the shares, the Egyptian investment firm indicated.
It is worth noting that Qalaa Holdings holds a 52% stake in Asec Cement, which owns 35% of Zahana Cement’s shares.
In September, Qalaa Holdings announced that Asec Cement was looking to exit from the Algerian facility Zahana Cement.