Kuwait’s KIPCO Obtains Shareholder Approval for Qurain

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KUWAIT, Sept 5 (Reuters) – Investors in Kuwait Projects Company (KIPCO) (KPRO.KW) have approved a merger with Qurain Petrochemical Industries Company (QPIC) (ALQK.KW), KIPCO boss Sheikha Dana said on Monday. Nasser Alsabah.

QPIC shareholders, who must also approve the transaction, will receive 2.24 new KIPCO shares for each QPIC share they hold.

KIPCO, the country’s largest listed investment company, will continue to be listed on the Kuwait Stock Exchange while petrochemical industry investor QPIC will be dissolved and its assets, rights, financial liabilities and commitments will be transferred to KIPCO .

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KIPCO shareholders also approved a capital increase of 240.8 million dinars ($781.03 million), or 91.2% of the company’s current issued and paid-up capital, by issuing 2.408 billion shares without premium.

The deal with Qurain “will make the combined entity one of the largest listed investment holding companies in the Middle East and North Africa,” CEO Sheikha Dana said at the company’s shareholders’ meeting. society.

KIPCO has a market capitalization of 403.9 million dinars, compared to 347.3 million dinars for Qurain, according to data from Refinitiv. KIPCO is QPIC’s largest shareholder with a 29.53% stake, according to Refinitiv data.

Sheikha Dana told Reuters after the meeting that KIPCO was carrying out a “strategic review” of its portfolio with an adviser and could exit certain businesses at the appropriate time and price.

Its main businesses include Burgan Bank (BURG.KW), United Real Estate Co (UREK.KW), Gulf Insurance Group (GINS.KW), Kamco Invest (KAMC.KW) and pay-TV and online streaming company OSN , according to KIPCO. website.

($1 = 0.3083 Kuwaiti dinars)

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Reporting by Ahmed Hagagy in Kuwait Writing by Nayera Abdallah in Cairo and Yousef Saba in Dubai Editing by Louise Heavens and David Goodman

Our standards: The Thomson Reuters Trust Principles.

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