CIRA Education Acquisition: PIF's Stake Increases Significantly
Deal News | Feb 03, 2025 | Legal Community MENA
Matouk Bassiouny & Hennawy (MBH) provided legal advisory services to the Saudi Public Investment Fund (PIF) for a strategic acquisition in Egypt's education sector. This transaction involved Social Impact Capitals (SIC) acquiring an additional 37.5% stake in CIRA Education, a prominent Egyptian private education service provider. The transaction was executed via a mandatory takeover offer valuing at EGP 3.4 billion. This move elevates SIC's stake in CIRA from 51.2% to a controlling 88.7%. The takeover is tied to a binding agreement with Afaq Al Elm, an entity under the umbrella of the Saudi Egyptian Investment Company (SEIC), itself a subsidiary of PIF, highlighting PIF's strategic goals to bolster its footprint in Egypt. The investment is expected to significantly enhance CIRA's operational capabilities and regional initiatives.
Sectors
- Private Equity
- Education
- Legal Services
Geography
- Egypt – The transaction took place in Egypt, involving CIRA Education, an Egyptian company.
- Saudi Arabia – PIF, the Saudi Public Investment Fund, was a key participant in the transaction.
Industry
- Private Equity – The article involves PIF, a major sovereign wealth fund, strategically increasing its stake in CIRA Education through SIC.
- Education – CIRA Education, an Egyptian private education service provider, is the target of the acquisition.
- Legal Services – Matouk Bassiouny & Hennawy provided legal advisory for the transaction.
Financials
- EGP 3.4 billion – Total value of the mandatory takeover offer for acquiring the additional stake in CIRA Education.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| CIRA Education | Target Company | Company | An Egyptian private education service provider. |
| Public Investment Fund (PIF) | Bidding Company | Company | Saudi Arabia's sovereign wealth fund involved in the acquisition. |
| Social Impact Capitals (SIC) | Acquiring Entity | Company | Acquired an additional stake in CIRA Education on behalf of PIF. |
| Matouk Bassiouny & Hennawy (MBH) | Legal Advisor | Company | Provided legal advisory services for the transaction. |
| Afaq Al Elm | Investor | Company | A subsidiary of the Saudi Egyptian Investment Company and part of the agreement. |