EGYPT – Ezdehar Egypt MidCap Fund, a private equity fund, has invited FMO, the Dutch Development Bank, to co-invest in Eagle Chemicals Group, a leading solvent and water-based resin manufacturer and supplier to industrial companies.
FMO and Ezdehar will jointly acquire the shares of Eagle currently held by 8 Miles, an Africa focused PE fund. Ezdehar and FMO will provide value added in the following areas: governance, commercial, ESG and sustainability, organization and management, finance and reporting.
According to FMO, it considers this an attractive investment opportunity as it provides them with a possibility to back a regional market leader (60% domestic market share) in an attractive sector with a demonstrated resilient business and further support Eagle in strengthening its competitive positioning by various value addition initiatives including E&S and sustainability (move towards greener products).
Eagle has highly diversified sales destinations exporting to more than 80 countries in Africa, Asia, South America and Europe.
In line with global trends towards more environmentally friendly water-based resins, Eagle successfully ramped up its production volumes, capacity and exports of water-based products. The proportion of water-based vs. solvent-based will grow further during FMO’s holding period.
Eagle products include resins for lacquer, varnishes and plastics as well as resins for can coatings, road markings and food cans. It manufactures and distributes resins and polymer products to the industrial manufacturing sector. It also exports its products to more than 50 countries spanning Africa, Asia, South America and Europe.
In September, Ezdehar acquired a minority stake in Al-Tayseer Healthcare Group through Ezdehar Egypt Mid-Cap Fund.
Investing in Al-Tayseer Healthcare Group (THG) aims at supporting THG in consolidating its position as the largest healthcare provider in the underserved Delta region, investing in a number of hospitals in the pipeline, and expanding its chain of laboratories in the coming years.
Ezdehar is looking to help Al Tayseer invest more in its hospitals, and also its laboratories, according to the statement.
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