Saudi Arabia’s Construction Products Holding Company has agreed to fully acquire glass production company Sphinx Glass from Egypt-based Qalaa Holdings, which was formerly known as Citadel Capital, for £E1.28bn ($180m).

After the deduction of debt and liabilities, CPC will pay a cash consideration of £E815m. The transfer of cash and shares is expected to conclude in July.

The transaction leaves the Egyptian Exchange-listed Qalaa with cash proceeds of £E521m after the payment of capital gains tax.

Sphinx Glass, a 200,000-ton-per-annum float glass production facility, has a strong presence in the Egyptian market and also exports its products regionally and internationally. In 2013, the company recorded £E393m in sales.

“This acquisition is an important step in line with our group’s international expansion strategy, enabling us to capitalise on increasing demand for building materials and glass in Egypt and Africa, where the construction industry is booming with economic progress and increasing urbanisation,” says CPC’s chief operating officer Riad Kiwan.

Arab Legal Consultants acted as legal counsel to Qalaa Holdings on the transaction, while Pharos Investment Banking acted as financial adviser. CPC was advised by Helmy, Hamza & Partners and Credit Suisse.