{"id":578313,"date":"2022-12-22T04:00:54","date_gmt":"2022-12-22T04:00:54","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/"},"modified":"2022-12-22T04:00:54","modified_gmt":"2022-12-22T04:00:54","slug":"pachin-to-respond-to-nph-bid-as-soon-as-january","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/","title":{"rendered":"Pachin to respond to NPH bid as soon as January"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-02\"><\/a> <strong>To sell or not to sell? <\/strong>Paint and Chemical Industries (Pachin) could respond to the takeover offer from Dubai-based National Paints Holdings (NPH) as soon as early January, unnamed sources reportedly told <a href=\"https:\/\/www.alborsaanews.com\/2022\/12\/21\/1612179\">Al Borsa<\/a>. The Emirati firm is close to completing due diligence<\/p>\n<p>and financial consultancy firm Elite is still working on the fair value study with the hopes of finalizing it before year end, the sources said.<\/p>\n<p><strong>REMEMBER- <\/strong><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/2bd16acf-0bc2-4e41-abb4-98ff04e3cb71\">NPH launched<\/a> a takeover bid for Pachin in November, offering to pay EGP 29 per share and valuing the EGX-listed company at EGP 696 mn. PH\u2019s offer was the third offer Pachin received this year, following offers from <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/aa4253d1-4e21-484b-8dd5-c291322ebfa7\">Universal Building Materials and Chemicals<\/a> (Sipes) and <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/282c2d10-3962-4fe7-9d62-eb7036227f7b\">Saybad Industrial Investment<\/a> that have since been withdrawn after being outbid by NPH.<\/p>\n<p><strong>Advisors:<\/strong> Al Ahly Pharos is providing financial advice to Pachin while Adsero-Raji Soliman & Associates is counsel.<\/p>\n<p><strong>The play for Pachin comes amid the government\u2019s privatization push<\/strong>, 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.<\/p>\n<p><strong>MORE CAPRICORN SHAREHOLDERS REVOLT AGAINST NEWMED TIE-UP-<\/strong><\/p>\n<p><a class=\"content-anchor\" id=\"tldr-story-04\"><\/a> <strong>More <\/strong><strong>Capricorn Energy shareholders have joined <\/strong><strong><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/38d5e648-bcee-4083-ad59-c31d9f215833\">calls to oust its board<\/a><\/strong><strong>, putting the <\/strong><strong>company\u2019s proposed tie-up with Israel\u2019s NewMed at risk.<\/strong> Palliser Capital, the company\u2019s third-largest shareholder, <a href=\"https:\/\/www.businesswire.com\/news\/home\/20221220005809\/en\/Palliser-Receives-Additional-Letters-of-Intent-from-Capricorn-Shareholders\">said yesterday<\/a> that three other shareholders will back its call to force seven of the nine directors to resign \u2014 including the long-serving CEO Simon Thomson \u2014 at an upcoming board meeting due to the terms of the proposed merger.<\/p>\n<p><strong>Who\u2019s in? <\/strong>Shareholders who collectively hold 39% of the company\u2019s issued share capital are now in revolt against the board, the activist investor said. This includes the UK\u2019s largest asset manager, <a href=\"https:\/\/group.legalandgeneral.com\/en\">Legal & General<\/a>, and <a href=\"https:\/\/irenicmgmt.com\/\">Irenic Capital Management<\/a>, <a href=\"http:\/\/www.uk.vr-capital.com\/\">VR Global Partners<\/a> and a fourth undisclosed shareholder. Legal & General Investment Management, which owns 4% of the energy company, told <a href=\"https:\/\/www.thetimes.co.uk\/article\/legal-general-joins-shareholder-revolt-at-capricorn-energy-lkgx8xw3c\">the Times<\/a> yesterday that it thinks \u201ca change of directors is now warranted.\u201d<\/p>\n<p><strong>What\u2019s the issue?<\/strong> Shareholders have previously voiced their opposition to the planned merger on the basis that it undervalues Capricorn and that it is \u201cunnecessarily biased towards NewMed.\u201d<\/p>\n<p><strong>What\u2019s next:<\/strong> Palliser plans to convene a shareholder meeting at the end of January for a vote on whether to overthrow the board.<\/p>\n<p><strong>This is the second revolt this year:<\/strong> NewMed had <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/e20731c9-91e5-4f84-80a8-684f2834b9b5\">proposed an all-share merger<\/a> with Capricorn in October after shareholders blocked a <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/91191b64-74c4-49d6-80dd-3260bd490ab2\">previous merger plan<\/a> with Tullow Oil on grounds that it undervalued the company.<\/p>\n<p><strong>Why do we care?<\/strong> Capricorn has a sizable portfolio of upstream assets in Egypt. The merger would hand the Israeli company (FKA Delek Drilling) control of Capricorn\u2019s Egypt assets, paving the way for closer energy ties between Israel and Egypt.<\/p>\n<p><strong>ASPIRE SUBSIDIARY UPS STAKE IN ELECTRO CABLE-<\/strong><\/p>\n<p><strong>A subsidiary of Aspire Capital Holding subsidiary (<\/strong><strong><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/7b90e73a-bcdc-42ac-8800-27e8a92d55b7\">FKA Pioneers Holding<\/a><\/strong><strong>) acquired an <\/strong><strong>additional <\/strong><strong>6.61% stake<\/strong><strong> in EGX-listed electric cables manufacturer Electro Cable <\/strong>for EGP 111.7 mn, bringing its total ownership to 20.09%, according to a <a href=\"https:\/\/ent.news\/2022\/12\/Summo-buys-in-Electro-Cable.pdf\">disclosure to the bourse (pdf)<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>To sell or not to sell? Paint and Chemical Industries (Pachin) could respond to the takeover offer from Dubai-based National Paints Holdings (NPH) as soon as early January, unnamed sources reportedly told Al Borsa. The Emirati firm is close to completing due diligence and financial consultancy firm Elite is still working on the fair value [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":578314,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7363],"tags":[598,93,72,7128,9179,7200,91],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-578313","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ma-watch","tag-capricorn-energy","tag-energy","tag-enterpriseam","tag-ma-watch","tag-national-paints-holding","tag-newmed","tag-oil-and-gas","wpautop","entry"],"acf":{"mongo_id":"2b30f18a-8862-4ce9-ac4c-db488429e7ff","is_powered_by":true,"story_type":"1","photo_url":"https:\/\/ent.news\/2022\/12\/484.jpg","photo_position":"above","related_issue":[578304],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Pachin to respond to NPH bid as soon as January - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Pachin to respond to NPH bid as soon as January\" \/>\n<meta property=\"og:description\" content=\"To sell or not to sell? Paint and Chemical Industries (Pachin) could respond to the takeover offer from Dubai-based National Paints Holdings (NPH) as soon as early January, unnamed sources reportedly told Al Borsa. The Emirati firm is close to completing due diligence and financial consultancy firm Elite is still working on the fair value [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2022-12-22T04:00:54+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/i0.wp.com\/ent.news\/2022\/12\/484.jpg?fit=%2C&ssl=1\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"Pachin to respond to NPH bid as soon as January\",\"datePublished\":\"2022-12-22T04:00:54+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/\"},\"wordCount\":510,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"image\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/i0.wp.com\/ent.news\/2022\/12\/484.jpg?fit=%2C&ssl=1\",\"keywords\":[\"Capricorn Energy\",\"energy\",\"EnterpriseAM\",\"M&amp;A Watch\",\"National Paints Holding\",\"NewMed\",\"oil and gas\"],\"articleSection\":[\"M&amp;A WATCH\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2022\/12\/22\/pachin-to-respond-to-nph-bid-as-soon-as-january\/\",\"name\":\"Pachin to respond to NPH bid as soon as January - 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