Mohamed El Sewedy has acquired local sportswear brand Magma for an undisclosed amount, Averroes Ventures, which worked on the transaction, said in a press release (pdf). The acquisition saw El Sewedy — who was already an investor and partner in Magma — buy out another partner for full ownership of the firm, Averroes Ventures CEO Ahmed Al Sharif told Enterprise, without disclosing the name of the seller. Averroes Ventures did not disclose the value of the acquisition.

Averroes Ventures’ role was to help restructure Magma and arrange for the buyout, he explained, adding that the firm will now assist with the company’s expansion and operations. El Sewedy is now Magma’s chairman, while Amr Abu Ali is its newly appointed CEO.

What’s next for Magma? A facelift of the brand and expansion into new markets, with an entry into Saudi Arabia on the cards before the end of the year, Al Sharif said. Magma will also open its flagship store in Egypt before the end of 2023, he added.

IN OTHER M&A NEWS-

Look out for an announcement today on whether Pachin’s board has approved Saybad’s takeover bid. EGX-listed Paint and Chemical Industries (Pachin) held its general assembly meeting yesterday to discuss Saybad Industrial Investment’s bid to buy 100% of its shares, according to an EGX disclosure (pdf). Saybad’s offer prices Pachin’s shares at between EGP 16.00 and EGP 16.50 apiece, valuing the company at EGP 384-396 mn. The takeover bid comes as “the first actual application” of the state’s privatization plans, a source with first-hand knowledge of the transaction told Enterprise earlier this week. Around 54% of the company is currently owned by state-owned companies and banks, the source added.

ADVISORS- Catalyst Partners is acting as Pachin’s financial advisor. Adsero–Raji Soliman & Associates is the firm’s legal advisor.

Correction: 23 July 2022

A previous version of this article incorrectly stated that Averroes Ventures acquired Magma.