Tax Dispute Blocks $1.1 Billion Shisha Maker Deal in Jordan (1)

The Jordanian government’s crackdown on tax evasion is blocking a deal in which a $1.1 billion listed shisha maker would be taken private.

Shareholders of Al-Eqbal Investment Co PLC (EICO), the fourth-largest company on Amman’s stock exchange by market value, received an offer in early March from London-based United Brands of Shisha Bidco Limited to sell shares at 16 Jordanian dinars ($22.55). That was a premium of about 30% on the traded value at the time.

The offer was later approved by a majority of shareholders at a revised price of 14 dinars, with the conclusion of the deal expected ...