Taqa Arabia welcomes a new shareholder: The Egyptian military-affiliated National Service Projects Organization (NSPO) acquired a 20% stake in recently-listed Taqa Arabia, according to a disclosure (pdf) to the Egyptian bourse yesterday. The announcement, which disclosed both the buyer and seller, comes one day after one of the energy company’s major shareholders executed a block trade on Monday and transferred the proceeds to one of its unnamed creditors.

What we know: The transaction, which was valued at EGP 1.63 bn, was executed on 270.4 mn shares at an average sale price of EGP 6.023 apiece, according to the statement, which disclosed both the buyer and seller’s identities. It disclosed the seller as Silverstone Capital Investments — an entity controlled by Taqa Arabia parent company Qalaa Holdings — which will now hold a 29.1% stake in Taqa Arabia after the block transaction saw it selling its 20% stake in the company.

All part of a previous agreement: The transaction was executed as part of a sale and repurchase agreement between Taqa Arabia’s main shareholders — Silverstone Capital Investments, Qalaa Holdings, and Citadel Capital Partners — and one of Qalaa’s creditors, the statement showed. Details on the debt owed by Qalaa Holdings were not made public.

About NSPO: The NSPO is a military-affiliated entity operating in various sectors that include oil and gas, mining, food, agriculture and construction among others, according to its website.

Qalaa can rewind: Per the agreement, Qalaa can buy back the shares within four years of the transaction, the statement said.

REMEMBER- Taqa Arabia’s shares began trading on the EGX earlier this month in what was seen as a disarrayed debut following a technical listing. Silverstone Capital Investments has already offloaded its ownership in the company from 80% to 49% on its trading debut, selling shares to other major shareholders Financial Holdings Investments and Rimco EGT Investments.

Advisors: EFG Hermes quarterbacked the transaction, according to the statement.

Market reax: Taqa’s shares dropped 3.8% yesterday to close at EGP 10.54 apiece.

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