The ongoing bidding war for Egyptian cheesemaker, Arab Dairy is a sign of the country’s strengthening economy as its bourse hit a six-year high after an extended period of political instability surrounding uprisings against former leader, Hosni Mubarak in 2011 which caused a slowing of the country’s markets. Cairo-based investment firm, Pioneer Holdings, which currently owns 16.73% of Arab Dairy, has raised its bid for the company to LE64.30 (US$8.43) per share, seeking an additional 60.19%, and in the process outbidding Lactalis for the company by 2.06%. As the country’s economic stability solidifies, investment activity in the agribusiness and food sectors is increasing, as was indicated last month when the world’s biggest cereal maker, U.S.-based Kellogg Co. acquired Egyptian confectionary company, Bisco Misr for $125 million.
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