Egypt's EFG Hermes's H.Q. (Photo: Reuters)
Egypt's regulator has no objections to EFG Hermes' plan to create a jointly-owned investment bank with QInvest of Qatar, the bank said on Monday.
EFG Hermes and QInvest agreed in May to hive off EFG Hermes's investment banking business into a joint venture in which state-backed QInvest would hold a 60 per cent stake.
EFG Hermes shareholders in September reaffirmed their approval of the tie-up after demands by the regulator for more details were met. EFSA had had rejected decisions approved by shareholders in June because the firm had not clarified points including minority rights.
"The Egyptian Financial Supervisory Authority certified, with no reservations ... (EFG Hermes') Extraordinary General Meeting minutes that was held on Sunday Sept. 16, 2012 to approve the company's strategic alliance with QInvest," EFG Hermes said in a statement.
The statement was sent to the Egyptian and London stock exchanges.
An spokeswoman for the Egyptian bank said no further approvals were needed from the Egyptian authorities.