Investment Company Citadel Capital has received an offer to sell 100% of its non-core portfolio company Sphinx Glass for $112m, the firm announced in an official statement on Tuesday. "Citadel Capital will be divesting its 73.3% ownership stake in the company, which will result in cash proceeds of approximately $73m after the estimated capital gains tax; the balance of the equity subject to sale in the transaction is held by co-investors," the company's statement said. The sale deal is expected to be completed within the next two months, the company noted. Citadel Capital did not name the company that made the purchase offer or its nation of origin. Citadel Capital's co-founder and managing director Hisham El-Khazindar pointed out that Sphinx Glass "undoubtedly has the potential to grow into a major regional exporter". Last month, the investment company announced that it had sold its full 66.12% stake in Sudanese Egyptian Bank, full-service Sharia (Islamic law) compliant bank, for $22m. In January, the company announced that it had completed asset purchases and add-on investments worth a combined EGP 2.628bn. The company has acquired the majority of its stakes of core businesses in the energy, transportation, agrifoods, mining and cement sectors. These purchases followed the company's decision to increase its capital to EGP 8bn and came as part of the firm's transformation from a hybrid private equity firm into an investment company. "We are exiting our investment in the company as part of the execution of our new strategy to divest non-core assets in a timely manner at the right valuations as we transform into an investment holding company with a narrower focus," El-Khazindar added. Sphinx Glass produces 200,000 tons of glass each year. It began operations in 2010 and grew to be a regional and international exporting company. In 2013, Sphinx Glass recorded EGP 393m in sales in and currently targets to exceed its budget for the second consecutive year.
