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Tuesday, 22 June 2021

Tawasol, LimeVest make their move for Alex Medical

Tawasol-LimeVest consortium launches Alex Medical takeover bid: A consortium of Tawasol Holdings and LimeVest affiliate Maternity and Pediatrics Holding has made its move in the race for Alexandria Medical Services, submitting a bid that values the company at more than EGP 740 mn. The companies have submitted a request to go ahead with a mandatory tender offer (MTO) to acquire a 74.08% stake in the company at EGP 52 per share, the Financial Regulatory Authority said (pdf) yesterday. Tawasol is already a 26% shareholder in Alex Medical, and the acquisition would give the consortium 100% ownership. Abu Dhabi Commercial Bank is the main seller, and is looking to exit its 51.5% stake.

This is higher than the bid submitted by Tana Africa’s TAT Medical Services, which bid for Alex Medical at EGP 49.04 per share earlier this month, up from the EGP 45.53 it had offered in May. This came a few days after Yas Holding, the parent company of the UAE’s Global One Healthcare Holding, offered EGP 47.98 per share for at least 51% of the company. Other bidders include Cleopatra Hospital (it’s offering EGP 38.53 per share), Nile Scan and healthcare investment firm Seha Capital.

Speed Medical withdrew in May from the Tawasol-LimeVest consortium, which had previously offered EGP 38.09 per share last April for 100% of Alex Medical.

IN OTHER M&A NEWS-

The price war for that other hot Alex company is heating up: Hong Kong’s Zeta Investments has raised its MTO for 90% of Alexandria National Company for Financial Investments (ANFI), to EGP 6 apiece, up from the EGP 5.48 per share it submitted in mid-June, according to a statement (pdf) by the Financial Regulatory Authority. The new offer values ANFI at EGP 31.35 mn. Subscription period for Zeta's MTO ends on Monday, 28 June. The offer was launched last week after obtaining the FRA’s approval.

The bids keep rolling in: The revised offer comes one day after private equity firm Compass Capital has submitted an MTO to acquire up to 100% of ANFI for EGP 5.72 per share. Tycoon Holding wants to acquire a 90% stake for EGP 5.60 per share.

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