Back to the complete issue
Tuesday, 18 July 2017

Proposal to ease listing of state-owned companies in the UK could prove fruitful for Egypt

Speaking of IPOs of state-owned companies: The United Kingdom is pulling out the stops to attract listings of government corporations. The UK’s financial regulator has proposed the relaxation of rules to make the listing of state-backed companies easier, Reuters reports. The move comes as the London Stock Exchange continues to push into the Middle East and North Africa in search of new listings. The Financial Conduct Authority’s proposal comes as the UK looks to capitalize on the upcoming IPO of Aramco. Egypt, which is readying its IPO program for state-owned companies, could stand to benefit as its option to list shares in companies such as Enppi and Banque du Caire in the UK gets easier. The Ismail government has yet to say whether a listing on the London Stock Exchange is in the cards. The proposal has received praise from financial lobbyists, as the City looks to cash in by making their advanced trading platforms easier to access for sovereign listings. Other investors and corporate governance groups counter that loosening some of the rules may lower the quality of companies on its stock exchange and leave shareholders with less protection when things go wrong.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Etisalat Misr (tax ID: 235-071-579), the leading telecoms provider in Egypt; and Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt.