Two Egyptian construction firms set to merge in late January
Misr Concrete and Cairo for Contracting to target major projects
Egyptian companies Misr Concrete Development Company and Cairo for Contracting and Real Estate Investments Company are set to merge later this month, it has been reported.
Hassan El Bayae, chairman of the concrete firm, said the merger move is in line with a decision taken by its parent company, Holding Company for Construction and Development (HCCD), according to a report by Amwal Al Ghad.
Officials from the parent company, along with those from Cairo for Contracting are scheduled to meet on January 20, 2016 at a general assembly meeting convened by Misr Concrete. The meeting will allow the executives to discuss the objectives of the merger, so as to ensure its eventual ratification, El Bayae explained.
He added that the merger was to allow for the restructuring of contracting companies in Egypt so as to raise their capabilities and allow them to compete for major projects within the country.
The majority of companies affiliated to HCCD have smaller business volumes, and as a result the merger will contribute towards reinforcing those companies’ activities in the coming period, the chairman pointed out.
