Sixth of October for Development and Investment Company (SODIC) shareholders agree to sell 85.52% of the company’s issued share capital to a consortium that is 70% controlled by Aldar and 30% by ADQ, making the Aldar-ADQ consortium the largest and majority shareholder of SODIC, according to SODIC’s Managing Director Magued Sherif.

“We are excited to welcome Aldar and ADQ as strategic investors and key shareholders in SODIC and look forward to starting a new chapter in our growth story,” announces Sherif. “This is the biggest foreign investment in the Egyptian real estate market to date and proves how stable our economy is,” he continues, while confirming that SODIC’s name, brand, and operations continue as is in the Egyptian real estate and stock markets.

The consortium consists of Aldar Properties, the largest developer in Abu Dhabi with 70% of its control, and one of the region’s biggest holding companies ADQ with 30% of its control.  This acquisition is valued at EGP 6.1 bn after a successful mandatory tender offer.

According to the signed agreement, the Abu Dhabi-based consortium acquires 85.5% of the outstanding share of SODIC. The transition is being finalized at a purchase price of EGP 20.0 per share. “Following the successful conclusion of a mandatory tender offer, the consortium will acquire 304,628,772 of the company’s shares for a cash price of EGP 20 per share, valuing SODIC at over EGP 7.1 billion and implying a transaction value of some EGP 6,092,575,440 billion,” SODIC’s official statement reads.

“The Aldar-ADQ consortium brings financial strength, a solid track record in institutional real estate investment, development of premium quality communities and destinations, and property management. We want to thank our existing shareholders and investors for their trust in SODIC and its management team to deliver sustainable growth and returns. We are excited to work with Aldar and are looking forward to starting a new chapter in our growth story,” Sherif concludes.

In 2019, ADQ launched a USD 20 bn- joint strategic platform with the Sovereign Fund of Egypt to invest in several key sectors, including healthcare and pharmaceuticals, utilities, food and agriculture, real estate and financial services. This transaction is ADQ’s latest investment in Egypt, highlights SODIC’s statement.