SODIC won’t be acquiring Orascom for Real Estate: Real estate developers Orascom Development Egypt (ODE) and SODIC have agreed to end talks on SODIC’s bid to acquire Orascom for Real Estate (ORE),Orascom Development Holding (ODH) said in astatement Thursday. The company did not disclose why the talks fell through.

The market welcomed the news: ODE shares gained 1.5% during trading on Thursday to close at EGP 7.99. SODIC shares were up 6.6% to close at EGP 13.19.

REFRESHER- SODIC in October submitted a non-binding offer to acquire 100% of ORE for almost EGP 2.5 bn. ORE ⁠— which owns the 4.2 mn sqm O West development ⁠— is 70% owned by ODE.

O West is a priority for ODE: “ODH continues to be fully committed to the development of O West,” the company said, adding that it plans to deliver over 1k residential units and launch the first phase of its sports club this year. O West accounted for more than half of the company’s new sales in 2022.

SODIC has had appetite for M&A following its acquisition by UAE investors. The company last year made a play for Madinet Nasr for Housing and Development (MNHD), but the transaction fell through after MNHD shareholders said the bid was too low. A consortium of real estate giant Aldar Properties and Abu Dhabi sovereign wealth fund ADQ acquired more than 85% of SODIC in 2021.

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