EFG Hermes prepares to implement 3 offerings on EGX during 2022

EFG Hermes Holding Company is working on preparing Ebtikar and Abu Auf companies for listing on the Egyptian Stock Exchange (EGX) during 2022, according to co-head of promotion and underwriting at the company Mostafa Gad stated.

Gad added that his company hopes to offer Banque du Caire from government offerings in the same year, according to a TV statement.

He stated that EFG Hermes succeeded during 2021 in participating in a number of seven offerings in the Gulf markets. “This year, we will repeat the same achievement, if not more, amid the interest of the Saudi, Dubai and Abu Dhabi markets in the offerings.”

Gad pointed out that his company, which played the role of financial advisor in about “10 acquisition deals in Egypt last year, expects to be an advisor to more than that figure this year amid the clear interest of investors in Saudi Arabia and the UAE in Egypt.

The average acquisition deal is between $100 and $200 million, he noted.

In November, Prime Minister Mostafa Madbouly said that the Egyptian government intends to offer five or six new companies on the Egyptian Stock Exchange before the end of the current fiscal year.

In March 2018, the Ministry of Finance announced that 23 government companies would be offered on the Egyptian Stock Exchange, with a total value of up to LE 80 billion, as part of the first phase of the government offering program.

The government offering program aims to expand the ownership base and increase the market capital of the Egyptian Stock Exchange, in addition to increasing the value and quantity of daily trading.