EGX witnesses 4 IPOs in 9 months at LE 5.2B



Mon, 15 Oct 2018 - 06:36 GMT


Mon, 15 Oct 2018 - 06:36 GMT

FILE – Mohamed Farid

FILE – Mohamed Farid

CAIRO – 15 October 2018: The Egyptian Exchange (EGX) witnessed four initial public offerings (IPOs) during the first 9 months of 2018, at a value of LE 5.2 billion, compared to LE 3.9 billion in 2017, Chairman of EGX Mohamed Farid said.

The EGX chairman clarified that these IPOs are CI Capital, B Investment Holdings, Cairo investment and Real Estate Development, and Sarwa Capital.

B Investments’ initial public offering (IPO) was oversubscribed 84.4x by the end of Monday’s session through the sale of 422 million shares out of 5 million shares offered.

Moreover, EFG Hermes announced the IPO of Cairo for Investment & Real Estate Development (CIRA) on the Egyptian Exchange (EGX) at LE 1.244 billion.

CI Capital Holding announced in March that it planned to issue 43.6 percent of the group’s share capital on the EGX, amounting to 246.9 million ordinary shares.

Sarwa offered around 295.2 million shares on the EGX, representing 47.2 percent of the company’s capital, at a price of LE 7.36 per share, reaching a total value of LE 2.2 billion.

Farid added that EGX continues to provide all forms of support and assistance to serious companies wishing to grow through the stock market in various sectors, in support of the country's plans to achieve sustainable economic growth.

He noted that the diversity that EGX boosts its role in supporting the economic reform program that the government is currently implementing to correct its economic path.

Farid welcomed all companies in various sectors to join the stock exchange to obtain necessary funding to pump in more investments and open up new markets.

He stressed that the EGX board is working to improve the trading environment and simplify procedures to enhance liquidity and circulation, raising the efficiency and depth of the Egyptian financial market.

Regarding Sarwa’s IPO, Farid said that strong demand from Arab and foreign investors to represent 52.3 percent of the total offer is a strong message that Egypt is on the right path, by implementing reforms on all levels; financially, critically and legally.

The stake of non-Egyptians, Arabs and foreigners, stood at 52.3 percent, while the share of Egyptians reached 47.7 percent of the total (public and private offerings).



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