Orascom Construction parent company extends its tender offer in Egypt

Netherlands-listed OCI NV, the parent company of Orascom Construction Industries, announced on Wednesday it will extend its mandatory tender offer which was originally announced on 26 June.

The offer will now be open between 29 September and 3 October 2013 and 19 January to 23 January 2014, said Orascom in an announcement published in two Egyptian newspapers, Al-Ahram and Al-Akhbar.

The extension of the offer should allow "remaining shareholders of Orascom Construction Industries SAE to elect to convert their shares into OCI NV or elect to receive a cash alternative of LE255 per share (the offer)", read the announcement.

On Tuesday, the Egyptian Financial Supervisory Authority (EFSA) gave its approval to the extension of OCI NV offer.

On 26 June, OCI NV announced a mandatory tender offer to acquire up to 208,938,419 shares representing 100 percent of Orascom Construction Industries.

The methanol producer said that it will offer 17.5 million shares, or 20.1 million if the underwriters buy shares to cover extra demand, and it expects to raise about $324.1 million after expenses.