Hani Olama, Chairman, Arab Cotton Ginning (ACGC, bt100 number 77) announced last month that the company is forming a joint venture with Saudi private equity firm Amwal Al-Khaleej to create a textile holding company.
Aiming a target capital of LE 2 billion, the group is in the process of recruiting partners for the new company, which will perpendicularly amalgamate, ginning, spinning and weaving activities.
To finance an acquisition of two textile companies, ACGC recently offered a 1:1 rights issue worth LE 556 million, while the subscription will close on April 17.
Amwal Al-Khaleej reported its regional investments to be worth SR 700 million (LE 1.08 billion).
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