State-owned Banque Misr is now the largest shareholder in EGX-listed CI Capital
M&A WATCH- State-owned Banque Misr is now the largest shareholder in EGX-listed CI Capital after acquiring another 9% stake in the investment bank on Thursday, raising its total holdings to 24.7%, Reuters reports. This came a day after the bank purchased 14 mn shares in the financial services firm, which gave it a position of more than 15% at the time. The acquisition, which makes Banque Misr the largest stakeholder in the company, comes as part of the bank’s drive to develop its non-banking financial services business, Banque Misr Chairman Mohamed El Etreby said. El Etreby did not signal whether Banque Misr remains a buyer of CI shares or discuss its plans for seats on the board.
It’s not the first state financial institution to decide it has interest in private-sector opportunities: The move comes less than two months after EFG Hermes and the Sovereign Fund of Egypt said they were aiming to take a 76% stake in the Arab Investment Bank as EFG Hermes aims to turn itself into a universal bank. The proposed acquisition would see EFG Hermes take a controlling 51% stake in AIB.