Egyptian steel titan Ezz Dekheila re-buys listed shares for nearly EGP 8.7 bln

Ahram Online , Wednesday 27 Sep 2023

Al Ezz Dekheila Steel Alexandria, Egypt's biggest steel manufacturer, has bought 6.95 million of its listed shares from shareholders for EGP 8.69 billion ($281.18 million), according to a bourse filing on Wednesday.

Ezz Dekheila Alexandria steelmaking plant.
Ezz Dekheila Alexandria steelmaking plant. Company s website.


The company bought each share for EGP 1,250 from shareholders unwilling to remain with the company after being delisted from the Egyptian Exchange (EGX).

The bourse filing did not disclose the details of the deal. However, Al Ezz Dekheila announced in August that it was seeking loans in foreign currency to finance the re-purchasing of listed shares.

In July, the company’s board of directors approved voluntary delisting ahead of the Egyptian government announcing the sale of a 31 percent stake in the company for $241 million, out of the 36.4 percent held by different state-owned entities.

According to the company's website, the steel company holds 64 percent of total shares, while 36 percent are free-floated on the EGX.

Al Ezz Dekheila has a total value of EGP 1.95 billion, calculated from its 19.5 million listed shares.

Egypt is implementing a plan to offer stakes in 35 state-owned companies to strategic investors by the end of June 2024. The plan has secured $5 billion so far while other $5 billion worth of deals are underway.

The privatization push is part of Egypt's commitments under its $3 billion loan programme with the International Monetary Fund (IMF).

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