Cairo – Mubasher: The board of directors of Pioneers Holding Company for Financial Investment approved the fair value (FV) studies conducted by the financial advisor FACT for five of its subsidiaries listed on the Egyptian Exchange (EGX).

Pioneers Holding Company plans to raise its stakes in these five companies to 90%, according to a statement to the EGX on Tuesday.

The FV of shareholders' equity of these companies are set as follows:

1. Pioneers Holding Company: EGP 9.21 billion, or EGP 9.84 per share.
2. Giza General Contracting and Real Estate Investment Co: EGP 662.72 million, or EGP 2.26 per share.
3. United Company for Housing and Development: EGP 2.07 billion, or EGP 7.32, a share.
4. Elsaeed Contracting and Real Estate Investment Company: EGP 959.48 million, or EGP 1.26 per share.
5. El Kahera Housing: EGP 2.91 million, or EGP 32.43 per share.
6. Electro Cable Co – Egypt: EGP 2.39 billion, or EGP 3.37 per share.

The stock swap ratios are set at 4.353 shares in Giza General Contracting for one share in Pioneers Holding, 1.344 shares in the United Company for Housing and Development for one share in Pioneers Holding, 7.809 shares in Elsaeed Contracting and Real Estate Investment for one share in Pioneers Holding, 0.303 share in El Kahera Housing for a share in Pioneers Holding, and 2.919 shares in Electro Cable Co for one share in Pioneers Holding.

Moreover, the board also proposed issuing shares at a nominal value of EGP 5 apiece as well as an issuance premium of EGP 4.84 per share to increase the issued capital by a maximum amount of EGP 275.45 million.

It is noteworthy that during the first nine months of 2019, Pioneers Holding Company reported a net profit of EGP 1.23 billion, compared to EGP 821.6 million in the year-ago period, including minority shareholders’ rights.