Egyptian steel tycoon Ahmed Ezz has acquired an additional 33.4-percent stake in Ezz Steel.
Ezz Steel is the largest steel company in Egypt, the Middle East and North Africa.
Ezz’s acquisition of 181.51 million issued shares of Ezz Steel, including global depositary receipts owned by Al Ezz Holding Group Industry and Investment, raised his total stake in the company to 65.7 percent, Zawya reported.
With the execution of the $107.3-million (EGP 1.68 billion) deal, the multimillionaire has acquired the entire stake in Ezz Steel held by Al Ezz Group Holding for Industry and Investment. This transaction makes him the company’s single majority shareholder.
In May, the tycoon raised his stake in Ezz Steel to 32.29 percent from 27.3 percent by purchasing 27.11 million shares owned by Al Ezz Holding Group Industry and Investment for $80.98 million. The purchase paved the way for the Egyptian magnate to become the majority shareholder in the company.
Ezz Steel is a market leader in Africa. It has a total steel production capacity of 7 million tonnes per year, comprising 4.7 million tonnes of long products and 2.3 million tonnes of hot-rolled coil.
The company’s subsidiary, Al Ezz Dekheila Steel Co, is the largest steel manufacturing company in Egypt, with a total capacity of 3.2 million tonnes of finished steel products per annum.
Ezz was the chairman and managing director of Al Ezz Dekheila Steel Company until he was forced to submit his resignation in 2011 following corruption allegations.
As of press time, 3:14 pm (WAT) on June 10, shares in Ezz Steel had declined by 1.02 percent to $0.68 (EGP10.65) per share.
