CIRA Announces price range for IPO, first day of trading by 1 October
**#7 IPO WATCH- CIRA Announces price range for IPO, first day of trading by 1 October: Leading private-sector education provider Cairo Investment and Real Estate Development’s (CIRA) expects to price its IPO at EGP 5.45 to EGP 6.30 per share as it moves ahead with an offering of nearly 38% of the company to both international and domestic investors. The subscription period for the domestic offering opened on Monday, according to the public subscription notice (PSN, here in pdf).
That price range would give the company a market cap of up to EGP 3.45 bn at the opening bell on the first day of trading. The company plans to price its shares on or around 22 September once the bookbuilding process ends. CIRA is looking for stable institutional investors, offering some 192 mn shares to global institutional investors and just over 14 mn to retail investors in Egypt. Trading in CIRA’s shares on the EGX is set to start on 1 October. CIRA’s website has key IPO-related documents here.
Where’s the money going? Proceeds from the offering will be used in part to finance expansion plans, with the company eyeing entry to new markets such as the Gulf, Europe, and South Africa.
Advisers: EFG Hermes is sole global coordinator and bookrunner for the transaction. Al Tamimi & Co. is acting as the issuer’s local counsel, while Zulficar & Partners is domestic counsel to the underwriter. White & Case is international counsel to the issuer, while Gide Loyrette Nouel is doing duty for the global coordinator and bookrunner. Inktank Communications is serving as investor relations advisor to CIRA.