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Thursday, 25 August 2022

B Investments now has until mid-Sept to mull Adnoc’s bid for TotalEnergies Egypt

Filing error gives B Investments more time to respond to Adnoc’s bid for TotalEnergies Egypt: B Investments has been granted an extension until 15 September to decide whether it will preempt Adnoc’s bid to acquire 50% of TotalEnergies Egypt, the company said in an EGX disclosure (pdf) yesterday. The private equity firm was originally set to respond to the offer by 29 August, but the deadline was extended due to a “minor miscalculation in the number of shares” listed as up for sale in paperwork that TotalEnergies sent to B Investments, the disclosure read.

REFRESHER- Adnoc’s distribution arm last month agreed to acquire 50% of TotalEnergies Egypt for up to USD 203 mn — including the 15.4% stake currently held by B Investments, which is the only minority shareholder in the fuel distributor. Total Energies Marketing Afrique (TEMA), which holds the 84.6% majority stake, would sell 34.6% to Adnoc, handing the two companies 50-50 ownership.

B Investments has the right of first refusal, allowing it to pre-empt Adnoc’s bid and buy the 34.6% stake that TEMA plans to sell to the Emirati firm. Alternatively, B Investments can allow the transaction with Adnoc to go ahead and exit TotalEnergies entirely.

The board is “still studying the bid” and will meet to make a final call before the 15 September deadline, IR head Omar El Labban told Enterprise. The investment committee has already met once to discuss the bid and is still studying all its options.

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