Egypt's Asec Mining (also known as Ascom) said on Thursday it plans to acquire 70 per cent of a company in Algeria instead of establishing a new company in the North African country.

Asec Mining did not name the target company but said in a statement to the stock exchange that its capital was 5.7 million euros ($8.98 million).

Ascom had previously planned to set up a new company in Algeria, the statement said. Ascom reported a 5.8 per cent rise in first-quarter net profit this week to 6.375 million Egyptian pounds ($1.19 million).

Shares in the company were trading 17 per cent higher at 224 pounds by 1028 GMT.-Reuters