Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
AD Ports Group said it would require at least EGP 21.92 billion (about Dh2.6 billion) to acquire a 32% stake in Alexandria Container & Cargo Handling Company (ALCN) as part of a planned cash Mandatory Tender Offer (MTO) aimed at securing control of one of Egypt’s largest container terminal operators.
In specific responses to questions from Aletihad, AD Ports Group said the MTO is directed at a mix of shareholders, primarily targeting the Alpha Oryx stake of approximately 32% and the free float of around 5.7%. Egyptian government entities, which collectively hold about 43% of ALCN, have confirmed that they will retain their existing stakes and are not participating in the offer.
The company clarified that participation in the MTO is entirely voluntary for shareholders, in line with Egyptian market regulations, and that there is no obligation on existing shareholders to tender their shares.
AD Ports Group already owns 19.3% of ALCN following a block trade completed in November with the Saudi Egyptian Investment Company (SEIC), a wholly owned subsidiary of Saudi Arabia’s Public Investment Fund.
The proposed transaction, first announced earlier this month, is expected to be completed in the second quarter of 2026, subject to regulatory approvals in Egypt. AD Ports Group said it is exploring multiple financing options to fund the MTO and will select the most accretive structure.
ALCN operates two major container terminals at Alexandria and El-Dekheila ports and is regarded as a highly profitable and cash-generative business. For the financial year ended June 2025, the company reported EGP 8.37 billion in revenue and an EBITDA margin of 64%, with a net cash position of EGP 9.7 billion.
AD Ports Group has said that gaining control of ALCN would strengthen its expansion in Egypt and complement its broader investments in ports, logistics and maritime services across the country, including terminal developments on the Mediterranean and Red Sea coasts.
