UAE-based private equity company, Abraaj Group, has placed a second bid for Egyptian sweet snack maker, Bisco Misr, raising its initial bid of LE73.91 ($) to LE79.1 ($11.06). The new bid now values the company at LE909.7 million ($127.9 million).
“A request for amendment pertaining to the increase of the offered purchase price per share of LE79.10 was submitted to Egyptian Financial Supervisory Authority (EFSA) on 19 November 2014,” a statement from Abraaj said.
Last week, it was announced that Abraaj offered to pay 56 percent of Bisco Misr’s stake holders LE73.91 ($10.32) per share, valuing the company at LE850 million ($118.63 million).
The revised offer tops Kellogg’s offer of LE79 ($11.04), which was tabled last week.
Between August and September this year, three companies; Abraaj, Kellogg Co and Savola Group, indicated interest in acquiring the snack maker. During this period, it was reported that Bisco rejected offers from Saudi Arabia’s Halwani Bros. and Juhayna Food Industries. Since then however, Abraaj and Kellogg’s have remained front-runners for the company’s assets. Both companies have had their initial bids accepted by Bisco Misr.
Bisco Misr is one of Egypt’s major baking companies, producing over 90 brands of biscuit, cakes and cereals.
If Abraaj’s offer is accepted by Bisco’s shareholder, the company will acquire at least 51 percent shares of the confectionary maker which has three factories in Egypt and about 100 types of biscuit and cakes in its stable.
By Fumnanya Abugah and Busayo Sotunde