Orange Egypt’s board approves major capital increase through additional share issuance
Orange Egypt’s board approves major capital increase through additional share issuance: Orange Egypt’s board of directors approved a capital increase yesterday, according to a bourse disclosure. The telco will be raising issued capital to EGP 16.4 bn from EGP 1 bn, and authorized capital to EGP 20 bn from EGP 2 bn through a share issuance that will give priority to existing shareholders, with the subscription price set at the share’s nominal value. Orange has sustained heavy losses over the past year on the back of the EGP float, and rising inflation and interest rates, as well as the costs associated with the 4G rollout.
In related news, ASCOM Geology and Mining’s board of directors also signed off on a EGP 250 mn capital increase to EGP 700 mn.