Egypt’s Beltone Financial Holding has taken a significant step toward acquiring the complete equity stake in Cash Microfinance Company. The announcement of this strategic move was made on Monday, marking a noteworthy development in Beltone’s expansion efforts.
The acquisition plan follows Beltone’s thorough due diligence process, which has culminated in a sales and purchase agreement (SPA) to acquire the entirety of Cash Microfinance’s equity.
However, it’s essential to note that the transaction’s finalization is contingent on the approval of the Egyptian Financial Regulatory Authority (FRA), a regulatory body responsible for overseeing financial transactions in Egypt. Beltone confirmed this stipulation in a statement provided in a bourse filing.
The acquisition process gained momentum earlier in August when Beltone signed a memorandum of understanding (MoU) for the purchase of Cash Microfinance. This significant step forward was made possible after Beltone obtained the requisite approvals from the FRA to proceed with the comprehensive due diligence process.
The acquisition aligns with Beltone Financial Holding’s strategic objectives and underscores its commitment to expanding its presence and influence in the financial sector of Egypt. The successful completion of this transaction will have implications for the landscape of microfinance in the country, and observers will be closely monitoring developments as they unfold.
