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| OCI sells its stake in Gavilon to Marubeni Egypt's Orascom Construction Industries (OCI) announced that its wholly-owned subsidiary OCI Fertilizer Holding has agreed to sell its 16.8% stake in the Gavilon Group, LLC (Gavilon) to Japanese trading house Marubeni Corporation (Marubeni). Proceeds from the transaction amount to approximately US$ 604.8 million. Marubeni valued 100% of Gavilon's equity at US$ 3.6 billion. OCI initially paid US$ 340 million for their stake in July 2008. The transaction is expected to close by September and OCI will use the cash proceeds to finance its Fertilizer Group expansion strategy in North America and potentially invest in other opportunities under review. In addition, part of the proceeds will be returned to shareholders. The Fertilizer Group will maintain its existing relationship with Gavilon under the new ownership of Marubeni in marketing fertilizer products in North America. write your comments about the article :: © 2012 Construction News :: home page |