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AL-KHAIR SHARES

Americana has a market value of around $2.52 billion
in the Middle East

Gulf group to buy key stake in Kuwait's Americana

DUBAI, February 4, 2016

Gulf-based group Adeptio signed an initial agreement with the Al Khair holding company to buy its stake in Kuwait Food Company (Americana), the companies said in bourse statements on Thursday.

State news agency Kuna said Adeptio, led by a businessman it identified as Mohammed Alabbar, would buy a 69 percent stake from Al Khair, which is owned by Kuwait's billionaire Al-Kharafi family.

Americana, which owns the Middle East franchises for popular fast food chains KFC and Pizza Hut and also makes food products, has a market value of around $2.52 billion, according to Thomson Reuters data.

"We do not have the slightest doubt that Americana will attain new horizons as a leader in the food and restaurants sector in the region," Kuna quoted Luay Al-Kharafi, a representative of Al Khair, as saying.

Kuna said the deal was conditional on due diligence and the approval of Kuwait's capital market regulator as well as Americana's board. Adeptio will also make a mandatory offer to buy out minority shareholders in Americana, Kuna said.

Americana's big shareholders had been in talks since early 2014 on selling a stake in the firm; banking sources said expressions of interest had come from potential investors including Singapore's Temasek Holdings, Saudi food maker Savola Group, and private equity funds KKR and CVC.

The Kuwaiti market regulator, in another statement to the exchange, said market rules provided for Americana shares to be temporarily suspended from trade. - Reuters




Tags: Kuwait | Americana |

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