Orascom Development Egypt (ODE) announced the completion of selling its stake in two hotels and a land plot in the Makadi destination at higher cash proceeds of LE 408 million. <\/p>\n
The company clarified in a filing to the Egyptian Exchange (EGX) that it concluded the sale of Royal Azur and Club Azur Hotels as well as a land plot in the Makadi destination on the Red Sea. <\/p>\n
\u201cThe sale was concluded at a higher enterprise value of c. LE 856 million than the LE 823 million that was previously announced. This will result in total cash proceeds of c. EGP 408 million ($ 22.8 million), compared to the c. LE 387.1 million ($21.6 million) that was previously announced,\u201d the company stated. <\/p>\n
The statement added that the sale will also result in the deconsolidation of LE 260.1 million of debt held on Royal for Touristic and Development Company, the former owner of the hotels. <\/p>\n
\u201cWe are also in the course of finalizing the documents for the completion of the sale of the Makadi Gardens Hotel which was sold for LE 114.7 million ($ 6.4 million),\u201d the statement read. <\/p>\n
\u201cThe conclusion of the sale is a solid testament to our continuous delivery of our strategy. Since the beginning of year, the company has made significant strides to streamline and reshape its investments through monetizing its non-core assets,\u201d Chief Executive Officer Khaled Bichara said. <\/p>\n
\u201cWe will continue to wisely invest our capital to drive growth and prioritize our time and resources to build a stronger and sustainable organization,\u201d he added. <\/p>\n
The company noted that the proceeds of the sale of the hotels and the land spot, in addition to those of the Tamweel Group together with parts of the excess cash flow from operations, will all be geared towards reducing the debt balance. <\/p>\n
Previously, Orascom Development announced that its hotel subsidiary Orascom Hotels Management (OHM) signed an agreement with Thomas Cook with total investments of LE 200 million.<\/p>\n
Egypt Today <\/p>\n","protected":false},"excerpt":{"rendered":"
Orascom Development Egypt (ODE) announced the completion of selling its stake in two hotels and a land plot in the Makadi destination at higher cash proceeds of LE 408 million. The company clarified in a filing to the Egyptian Exchange (EGX) that it concluded the sale of Royal Azur and Club Azur Hotels as well […]<\/p>\n","protected":false},"author":40,"featured_media":119311,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7863],"tags":[42272,44725,44724,44722],"class_list":["post-119310","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-english-section","tag-egx","tag-khaled-bichara","tag-ode","tag-orascom"],"yoast_head":"\n