Last Update 21:59
Monday, 21 October 2019

Egypt's IPO programme to be resumed in September

Doaa A.Moneim , Thursday 11 Jul 2019
File Photo: A trader works at the Egyptian stock exchange in Cairo, Egypt, December 3, 2015. (Photo: Reuters)
Views: 2039
Views: 2039

Egypt's Minister of Public Business Sector Hisham Tawfik announced on Thursday that no stakes will be offered for companies that have been listed in the initial public offering (IPO) programme till September.

According to the IPO programme, nearly eight enterprises have stakes in five sectors listed to be offered in the EGX.

Tawfik said that the new offerings will not take place till September given that the stock market is inactive during the summer holidays and Eid break, asserting that the most advantageous date for the IPO to be resumed is in the fourth quarter of 2019, which will begin in September.

Alexandria Containers and Cargo Handling Company (ACCH), Abu Qir Fertilizers, and Sidi Kerir Petrochemicals (Sidpec) enterprises are the companies for which stakes will be offered on the EGX.

Head of the securities division at the Federation of Egyptian Chambers of Commerce Awni Abdel-Aziz praised this step, affirming that now is not suitable for offering new companies’ stakes, especially since the market is still anticipating whether the CBE will either stabilize or decrease the interest rate.

“A large number of companies already listed on the EGX have not yet released their business outcomes, which are essential for the decision to buy or sell their stakes or those of other companies,” Awni said.

Awni stressed that the listed companies of the IPO are promising, projecting that they will be successfully sold as all of them are high-market value and stable and do not need to be restructured.

Egypt announced the implementation of the IPO programme in 2016, offering between 15 percent and 30 percent of each listed company over three to five years as part of the economic reform programme started in late 2016 to maximise the benefits of untapped state-owned assets and to attract more investments to the domestic market.

Eastern Company was the first listed company to be offered at 4.5 percent of its stakes on the EGX.

Short link:


Ahram Online welcomes readers' comments on all issues covered by the site, along with any criticisms and/or corrections. Readers are asked to limit their feedback to a maximum of 1000 characters (roughly 200 words). All comments/criticisms will, however, be subject to the following code
  • We will not publish comments which contain rude or abusive language, libelous statements, slander and personal attacks against any person/s.
  • We will not publish comments which contain racist remarks or any kind of racial or religious incitement against any group of people, in Egypt or outside it.
  • We welcome criticism of our reports and articles but we will not publish personal attacks, slander or fabrications directed against our reporters and contributing writers.
  • We reserve the right to correct, when at all possible, obvious errors in spelling and grammar. However, due to time and staffing constraints such corrections will not be made across the board or on a regular basis.

© 2010 Ahram Online.