M&A WATCH- Starch and Glucose Company shareholders approve Cairo 3A acquisition bid: The Egyptian International Tourism Projects Company (Americana Egypt) and Cairo Poultry yesterday approved an offer from Cairo 3A to purchase their holdings in the Egyptian Starch and Glucose Company (ESGC), according to three bourse disclosures (here and here — pdfs). Cairo 3A offered earlier this week to buy out three major shareholders in ESGC, including all of Americana Egypt’s 11.6 mn shares in the company, amounting to a 23.2% stake. Cairo Poultry, another major shareholder, also accepted 3A’s offer to acquire its 27.3% stake in the company (around 13.65 mn shares). The third shareholder, Americana Egypt’s parent company Americana Group, is yet to respond to an offer to purchase its 41% stake.

Cairo 3A offered to purchase the shares at a price ranging between EGP 8.98-10.18, valuing the combined 91.5% stake at between EGP 450-510 mn.

What’s next? The final price will be decided following due diligence, which will be completed by 9 April. Both Cairo Poultry and Americana Egypt will accept any price within this range and sell their holdings after Cairo 3A makes a mandatory tender offer by 12 April.

Shares rise on the news: Shares in the Egyptian Starch and Glucose Company rose 3.5% during trading yesterday, while Cairo Poultry gained 1.9%.