Arab Moltaqa Approves 0.1919-for-1 Valuation for Al Tawfeek Leasing-Al Baraka Share Swap

Key Facts

1A September 6, 2026 disclosure reported that Arab Moltaqa’s board approved the Forvis Mazars study and auditor’s report at its September 3, 2026 meeting.

2The ratio is 0.1919 new Al Baraka Bank Egypt share for every 1 Al Tawfeek Leasing share, with no cash option.

3The September 10, 2026 extraordinary general assembly will consider exchanging Arab Moltaqa’s 68.4% holding in Al Tawfeek Leasing.

4Dallah Al Baraka and Al Tawfeek House, which own 44.38% and 37.86% for a combined 82.24%, were barred from voting on the exchange item.

Arab Moltaqa Investments disclosed on September 6, 2026 the decisions taken by its board at a September 3, 2026 meeting concerning Al Baraka Bank Egypt’s offer for Al Tawfeek Leasing shares. The board approved the fair-value study and the related auditor’s report. Forvis Mazars prepared the study as independent financial adviser. The approval followed the exclusion of votes by directors connected to the offer.

The decision set the exchange ratio at 0.1919 new Al Baraka Bank Egypt share for every 1 Al Tawfeek Leasing share. The offer provides no cash option for shareholders who respond. Consideration would consist of shares issued through a bank capital increase, rather than an announced cash price for Al Tawfeek Leasing shares. Approval of the valuation basis does not mean the exchange was executed or ownership transferred.

Arab Moltaqa owns 68.4% of Al Tawfeek Leasing’s capital, according to Egypt’s Financial Regulatory Authority. Its extraordinary general assembly is scheduled for September 10, 2026 to consider approving or rejecting the exchange of the 68.4% holding. The exchange forms part of a mandatory tender offer submitted by Al Baraka Bank Egypt. Arab Moltaqa shareholder voting therefore remains a required step after the board’s approval of the study.

The authority notified the company on September 2, 2026 that Dallah Al Baraka Holding and Al Tawfeek House for Development Holding could not vote on the exchange item. It said the companies are connected to the bidder, potentially creating a conflict of interest with unconnected shareholders. Dallah Al Baraka owns 44.38% and Al Tawfeek House owns 37.86% of Arab Moltaqa, for a combined 82.24%. The authority limited voting to the remaining unconnected shareholders to avoid conflicts of interest and protect minority rights.

The authority said the voting arrangement does not express its view on the offer’s merits or suitability. It also does not constitute a recommendation to accept or reject the offer. Whether to respond remains each shareholder’s independent investment decision. The disclosed development is therefore approval of the valuation study ahead of the assembly, while the reviewed documents record neither a voting result nor completion of the exchange.