Investment Corporation of Dubai yesterday said it hoped to reach a mutually satisfactory agreement with Inmobiliaria Colonial SA on its offer to acquire the firm.

ICD last week made an offer to acquire Colonial for 1.19 euros per share in cash subject to a number of conditions. These include approval of the proposed transaction by Colonial's board; agreement by Colonial's creditor banks by March 19 on a restructuring of Colonial's outstanding debt; and the spin-off by Colonial within five months of its land development assets to current shareholders prior to the closing of the sale to ICD.

ICD said it welcomed the announcement by Colonial's board undertaking to immediately carry out the necessary actions to adopt the relevant resolutions in the context of the proposed transaction.

Mohammed I Al Shaibani, CEO and executive director of ICD, said: "We are encouraged by the resolution of the Board of Directors of Colonial in respect of the transaction. We believe the offer put forward is compelling and is in the interest of Colonial's stakeholders.

“Our attention continues to be focused on a successful conclusion to the process, which requires that everyone works diligently to reach an agreement within the agreed timetable. ICD is committed post-closing to provide Colonial with the required resources to manage its business, grow its portfolio and to take advantage of market opportunities." – TradeArabia News Service