CAIRO: Egyptian garment maker and retailer Arafa Holding has bought a 35 percent stake in Italian textile firm Forall Confezioni S.p.A (Forall Group) for ?25.3 million ($34.07 million), Arafa said on Monday.
The agreement gives Arafa the right to buy out the remaining stake in Forall Group within the next five years.
Arafa Chairman Alaa Arafa has long had his eye on Italian brands. Italy is a dream for us, he said in April. If we have an international brand in Italy this will change our dimensions. Forall Group is a men s clothing and accessories company which sells its products in fashion house Pal Zileri s stores.
Last year the company reported turnover of ?136 million ($183 million) and earnings before interest, taxation, amortization and depreciation EBITDA of ?10.4 million.
Arafa, founded in 1907 as a fabric retailer in the Nile Delta, says it is Egypt s oldest textile company. In the past year, Arafa has expanded into the European retail market and owns 60 percent of British Menswear Brands.