Egypt’s Qalaa Holdings has agreed to sell its 15.2 per cent stake in two glass companies at an equity value of E£828m ($105m).

Qalaa Holdings subsidiary MENA Glass will transfer its stake in local United Glass Company to local Misr Glass Manufacturing (MGM) Holding

In turn, MGM Holding is being sold to the local Middle East Glass Manufacturing Company (MEG). MEG will own 97.78 per cent of MGM Holding shares.

The transaction is expected to be completed in the first quarter of 2016 when the purchasers’ funding is secured.

Qalaa bought a 35 per cent stake in MGM in 2007.

Qalaa is also in the advanced stages of negotiations for other divestments, including Dina Farms and ASEC Cement’s operations in Algeria (Zahana Cement Company and Djelfa Cement Company).

Since 2014 it has exited from confectioner Rashidi el-Mizan, cheese manufacturer El-Misrieen, and cement companies ASEC Minya and ASEC Ready Mix, Sudanese Egyptian Bank, float glass manufacturer Sphinx Glass, two metallurgy subsidiaries of United Foundries Co, and investment bank Pharos Holding, all in Egypt.

This is part of its strategy to transform into a holding company.

Pharos Holding were Qalaa’s financial advisers and local Zaki Hashem Law Office acted as legal counsel, on the transaction.