SOURCE: Orascom Construction Industries

March 28, 2007 02:02 ET

Orascom Construction Industries S.A.E. - Baticim Tender Call Commenced

Cairo -- (MARKET WIRE) -- March 28, 2007 --

                                                             NEWS RELEASE

                 OCI Commences Tender Call for Baticim Cimento
OCI will launch the voluntary tender offer call on 29 March 2007 for 100 % of Baticim A and B class shares. The offer price per each B class share has been increased to YTL 12.25 and the price per each A class share has been increased to YTL 2,000

Cairo, Egypt - 28 March 2007: OCI Cimento Anonim Sirketi, a wholly owned subsidiary of Orascom Construction Industries (OCI), will launch the voluntary tender offer call for all outstanding A and B class shares in Bati Anadolu Cimento Sanayii Anonim Sirketi ("Baticim" or the "Company") that OCI does not currently own on 29 March 2007 at 09:00. The voluntary tender offer will continue until 17:00 on 12 April 2007.

The offer price per each B class share is YTL 12.25, which represents a premium of:

-    45 % to the average share price for the last 1 month ending 22
     February 2007, one day prior to the filing of the CMB application

-    49 % to the average share price for the last 2 months ending 22
     February 2007, one day prior to the filing of the CMB application; and

-    55 % to the average share price for the last 1 year ending 22 February
     2007, one day prior to the filing of the CMB application.

The offer price for each A class share is YTL 2,000, reflecting the premium associated with the preferred management, voting and dividend rights of this class of shares. The offer price for each of the A and B class shares implies a total equity value of YTL 884.3 million which is equivalent to US$ 641.2 million based on the current exchange rate of YTL 1.3792 to the US dollar.

Orascom Construction Industries CEO Nassef Sawiris commented: "We hope that the Company's shareholders will respond positively to the tender offer price which reflects a significant premium over the historical share price. The share price has recently witnessed a rebound as a direct result of OCI's interest in the Company. OCI is committed to investing in Turkey, to expand existing operations and to transfer its best practices to its subsidiaries. As a listed company, OCI understands the potential concerns of minority shareholders and has thus voluntarily extended its offer to all shareholders of the Company. We look forward to the successful conclusion of the process."

Baticim is a publicly listed company on the Istanbul Stock Exchange. Based in Izmir, the company owns and operates an integrated cement plant in Izmir with a total annual cement capacity of 1.8 million tons in addition to some ready-mix concrete operations. Baticim also owns 74.6% of Bati Soke Cimento Sanayii Anonim Sirketi ("Batisoke") which owns and operates an integrated cement plant near Izmir with a total annual cement capacity of 1.2 million tons. Baticim reported unaudited consolidated revenue of YTL325.9 million (US$227.7 million) and net income of YTL87.6 million (US$61.2 million) for the twelve-month period ended 31 December 2006.

Ak Yatirim is acting as the broker for the transaction. Shareholders who want to sell their shares during the voluntary tender offer, can be assisted in Akyatirim Center, or the assigned Akbank TAS branches, Akbank Izmir Merkez, Akbank Izmir Konak, Akbank Izmir Karsiyaka Carsi, Akbank Izmir Bornova, Akbank Ankara Merkez branches; and for Group B shares only in Akbank Istanbul/Kadikoy, Akbank Istanbul/Bakirkoy, Akbank Aydin/Soke and Akbank'in City Center Branches.

Shareholders can obtain further information on the tender offer at the website or contact the following telephone numbers: 0212 334 9513 / 0212 334 9526

About Orascom Construction Industries and OCI Cimento:

Orascom Construction Industries (OCI) is a leading cement producer and construction contractor active in emerging markets and Europe. OCI employs more than 40,000 people in over 20 countries. OCI is listed on the Cairo & Alexandria Stock Exchanges and on the London Stock Exchange through a Global Depository Receipts (GDR) program with a market capitalization approaching US$ 10 billion.

As a cement producer, OCI owns and operates cement plants in Egypt, Algeria, Turkey, Pakistan, northern Iraq and Spain, which have a combined annual production capacity of 21 million tons. New investments in Northern Iraq, Nigeria, Algeria, the United Arab Emirates and Saudi Arabia will increase the Group's annual production capacity to 36million tons. The OCI Cement Group exports primarily from Egypt to customers in more than 30 countries including the USA, Europe, Africa and the Middle East. OCI also produces and distributes aggregates and ready-mix concrete in Spain, Egypt and Algeria. OCI also manufactures cement bags in Egypt and Algeria.

As a contractor, OCI provides engineering procurement and construction services on large, complex and demanding industrial, commercial, water/sewage, transportation, telecommunications, maritime, tourism and railway projects for private and public customers principally in Europe, Middle East, Africa and Central Asia. The Construction Group is active in over 100 projects in more than 20 countries.

OCI also has investments in natural gas industries, including fertilizers, and in infrastructure concessions including a port operator and an industrial park developer.

OCI completed the acquisition of the Van cement assets, located in Eastern Turkey near the City of Van, in early 2006. A new wholly owned subsidiary was formed under the name of OCI Cimento Anonim Sirketi to own and operate the acquired cement plant, which is currently undergoing an upgrade to reach an annual integrated cement capacity of 0.5 million tons and a total clinker grinding capacity of 1 million tons per year.

Akyatirim Center and the assigned Akbank TAS branches responsible for receiving selling shareholders:

Akyatirim Merkez (Istanbul)    Inonu Cad.           0212 334 9676  0212 334 9494
(for A and B shares)           No : 80 34437
                               Gumussuyu Taksim

Akbank Izmir Merkez            Cumhuriyet Bulvari   0232 441 5214  0232 446 8902
(for A and B shares)           No:33/A 35210

Akbank Izmir Konak             Mithatpasa Cad.      0232 483 5308  0232 441 5664
(for A and B shares)           No:3 35251

Akbank Izmir Karsiyaka Carsi   1717. Sk.            0232 323 2458  0232 381 2479
(for A and B shares)           No:138 35600 

Akbank Izmir Bornova           Kazim Karabekir Cad. 0232 339 3492  0232 343 6511
(for A and B shares)           No:3/A-B 35041

Akbank Ankara Merkez           Bankalar Cad.        0312 324 5741  0312 306 2600
(for A and B shares)           No:5/B 06041 

Akbank Istanbul/Kadikoy        Sogutlucesme Cad.    0216 346 3303  0216 348 7000
(only for B shares)            No.15-17 81320

Akbank Istanbul/Bakirkoy       Istasyon Cad.        0212 572 8020  0212 572 5464
(only for B shares)            No:9/11 34740

Akbank Aydin/Soke              Istasyon Cad.        0256 518 4393  0256 518 1592
(only for B shares)            No:6 09200 

Akbank's City Center Branches  Akbank in city 
(only for B shares)            center branches

Hassan H. Badrawi
Investor Relations Director
Tel :  +202 2461 1039/1036
Fax :  +202 2461 9409

For additional information on OCI:
Orascom Construction Industries (OCI)
Nile City Towers - South Tower
2005A Corniche El Nil, Cairo, Egypt
Tel: +202 2461 1111, Fax: +202 2461 9400,
OCI stock symbols: OCIC.CA / ORCI EY / OCICqL / ORSD LI

                This information is provided by RNS
    The company news service from the London Stock Exchange