Abraaj Investment Management has raised its offer to acquire Egyptian cake and biscuit maker Bisco Misr to $129.6m.
The move comes after breakfast cereal maker Kellogg's offered $127.06m for the biscuit producer, Reuters reported.
Abraaj's latest offer of £80.58 per share represents exactly two percent above a bid of £79 from Kellogg's.
Shareholders with 56% stake in Bisco Misr have agreed to sell to Abraaj. However, the bid from Kellogg's forced Abraaj to raise its offer.
Abraaj has started buying shares on 21 November, while Kellogg's will begin buying on 27 November. Both parties want 51% stake in Bisco.
Bisco Misr manufactures and sells baked goods and confectionery in Egypt. It offers biscuits, wafers, seasonal products, corn flakes, cakes, and mint candies.
Earlier this month, Abraaj secured approval from the Egyptian Financial Supervisory Authority to acquire 51% stake in Bisco Misr for $119m.
Bisco Misr then said that it was still possible for interested parties to bid for the acquisition.
