The way is clear for the UAE’s National Paints to acquire Paint and Chemical Industries (Pachin) after Universal Building Materials and Chemicals (Sipes) dropped its rival bid to take over the EGX-listed company. Pachin announced the development in a disclosure to the EGX (pdf) yesterday, leaving the Dubai-based company the only one left in the race for the state-owned paint company.

National Paints’ offer has blown its competitors out of the water: The Emirati company last week submitted an initial takeover bid that valued Pachin at almost EGP 700 mn. This is comfortably above the two rival bids from Sipes — which put Pachin at EGP 444 mn — and Saybad Industrial Investment, which withdrew its offer last month.

REMEMBER- The play for Pachin comes amid the government’s privatization push, which should see it reduce its involvement in or exit certain industries to make way for the private sector. Pachin is currently approximately 54% owned by state-owned companies and banks.

Advisors: Al Ahly Pharos is providing financial advice to Pachin while Adsero-Ragy Soliman & Partners is counsel.