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Oman’s Raysut Cement said on Tuesday it plans to acquire Kenya’s ARM Cement, which went into administration in August, as part of its expansion plans.

Raysut has expressed its interest to the administrators to acquire the company, it said in a statement.
“The acquisition will complement Raysut’s revised strategy to manufacture clinker in proximity to the markets it supplies to in East Africa,” Raysut said in the statement, adding that the acquisition was estimated to be worth more than $100 million.

Raysut Cement is currently setting up a grinding unit in Somaliland and Mogadishu, Somalia with a Dubai-based partner. The company is also in advanced discussions to acquire cement producers in Uganda and Djibouti.

ARM Cement, once Kenya’s second-largest cement maker, owes about $190 million to a range of creditors, including local commercial banks. ARM’s creditors in October approved the sale of some assets to cut debt.

Too much brouhaha over this.

$190mn (& growing) in debt
$100mn for 70% leaving 959mn shares with 30%.

If most of the $100mn goes towards paying down bank debt and other liabilities eg NSSF, NHIF, etc then what's left will be used to boost working capital and pay interest.

Perhaps there may be a Debt:Equity Conversion like Uchumi and KQ so banks will end up as significant shareholders.

The good news is that even a diminished/diluted shareholding is better than getting nothing.
An example is KQ where "minority" shareholders ended up with some value vs a complete wipeout BUT with only 5% of the shareholding.

A 5-30% loaf is better than none.

Current shareholders will have little say given ARM is under administration whose loyalties are to the banks.

Leo umekuwa mhumble sana.. Kumbe personal losses can make someone this humble

It's written off so anything I get, even 5%, is a profit. I am NOT waiting eternally for an "Open Offer" unlike some

I am waiting for Rubis to send me a RTGS