Egyptian property developer Sixth of October for Development and Investment Company (SODIC) said Tuesday that it had submitted a non-binding offer to fully acquire Madinet Nasr Housing and Development (MNHD), valuing the Cairo-based developer at $328 million (EGP 6.18 billion).
Aldar Properties and ADQ-backed SODIC said in a statement that it seeks to acquire up to 100% of the share capital of MNHD at an indicative purchase price between EGP 3.20 and EGP 3.40 per share.
The proposed deal is in line with the property developer’s broader strategy to expand its portfolio of mixed-use residential communities in Greater Cairo, the North Coast and other major markets.
Founded in 1959, Madinet Nasr is a major urban community developer in Egypt that is mainly focused in the East Cairo area, where its two flagship projects, Taj City and Sarai, are located.
SODIC is majority-owned by a consortium comprising Aldar and ADQ, following its acquisition of 85.5% of the company’s shares last December in a transaction valued at about $388 million (EGP 6.1 billion).
The consortium is supporting SODIC’s growth and development as a leading national developer by scale enabling the company to unlock opportunities, expand business networks and implement best practices across many areas of common interest and expertise, Aldar said in a statement.
SODIC’s offer is subject to the satisfactory completion of comprehensive due diligence, applicable regulatory approvals, and several other conditions, including the company’s internal corporate approvals.
