Cairo – Mubasher: The Egyptian Transport and Commercial Services Co (Egytrans) said that H.A. Utilities Holding BV, the owner of the infrastructure and renewable energy firm H.A. Utilities BV, submitted a non-binding offer for business integration.

The Dutch firm offered Egytrans 100% of H.A. Utilities BV in consideration of an indebtedness owed to the seller and settled through the issuance of additional shares in Egytrans at a fair value (FV) estimated by an independent financial advisor, according to a bourse disclosure on Wednesday.

H.A. Utilities Holding BV is joinly owned by Hassan Allam Holding and Tanmiya Energy BV. 

H.A. Utilities Holding BV estimated the stock of Egytrans at a FV of EGP 12-13 per share for a total market cap of EGP 375 million to EGP 405 million, while the Dutch company’s FV has been estimated at EGP 680 million to EGP 800 million, based on a relative value of 1.63 times to 1.9 times in favour of the Dutch company.

The offer, which is currently under consideration, provides the shareholders of Egytrans a premium of 20% above the value-weighted-average-price per share in the last six months.

Over the course of 2020, the net profits of Egytrans plummeted by 59% year-on-year (YoY) to EGP 13.06 million, compared to EGP 31.82 million a year earlier.