4-5 companies could sell shares on the EGX this year -Farid
Four or five companies could offer shares on the EGX in 2022, Hapi Journal reported EGX boss Mohamed Farid as saying last week. Ten companies have contacted the bourse regarding listing shares on the exchange, he said, without providing further details.
In the running to become the first of 2022: Nahr Elkhair Development and Investment, which last week received the greenlight to IPO from the EGX listing committee, according to a bourse statement. The agricultural company’s 2 bn shares will today be admitted to trading on the exchange at a par value of EGP 0.10 apiece ahead of the sale, which could see as much as 61% of the company offered to investors.
Look for the IPO to be worth up to EGP 500 mn, the FRA statement implies. The company, which operates in land reclamation and livestock, among other sectors, will see its shares trade under the ticker KRDI.CA. Nahr Elkhair was originally looking to offer a 25-40% stake to investors.
ADVISORS- Baker McKenzie is providing legal advice to Nahr Elkhair. We’re not clear on which investment bank(s) are leading the transaction.
Also lined up for EGX debuts this year: Cosmeceuticals giant Macro Group is set to offer up to 45.8% of its shares in a transaction that could value the company at around EGP 3.5 bn before its FRA approval expires on 23 January, though an official timeline has not yet been set. Healthy food brand Abu Auf also has its eye on a 2Q2022 listing, having recently tapped EFG Hermes to quarterback the transaction, while non-bank financial services player Ebtikar could go to market in early 2022. Ghazl El Mahalla Football Club is also offering shares in a micro-IPO (see story below).
EDITOR’S NOTE: This story was corrected on 12 January, 2021 to reflect that the EGP 3.5 bn figure refers to the potential value of 100% of Macro Group’s shares, not the 45.8% of shares set to be offered in the transaction.