Wednesday, 18 August 2021

Fawry completes EGP 1.2 bn follow-on share sale

Fawry completes EGP 1.2 bn follow-on share sale: Several shareholders in Egypt’s leading e-payments firm Fawry have sold a 4.3% stake in the company in a follow-on share sale on the EGX, the bourse and transaction advisor EFG Hermes (pdf) said this morning. The 73.9 mn shares were sold by the Egyptian American Enterprise Fund (EAEF), private equity investor Helios, asset manager responsAbility, and Black Sparrow for EGP 1.2 bn (USD 79.8 mn). The EAEF and Helios were among 40 shareholders who last year transferred the ownership of a 63.99% stake in Fawry previously held by PSI Netherlands Holding to indirect shareholders.

Fawry shares fall: Fawry’s shares dipped by 3.1% to EGP 17.59 per share at today’s close. Shares are up 25% year-to-date.

Advisors: EFG Hermes acted as the sole financial advisor, as well as a joint bookrunner alongside Renaissance Capital. This isn’t the first time the investment bank has worked with Fawry, closing the USD 50 mn sale of a 7% stake in the company last year.

MARKET WATCH-

The EGX30 fell 0.2% at today’s close on turnover of EGP 2.3 bn (40.8% above the 90-day average). Foreign investors were net sellers. The index is up 0.6% YTD.

In the green: Raya (+2.8%), GB Auto (+1.6%), and Rameda (+1.0%).

In the red: Egyptian Resorts Company (-4.0%), Fawry (-3.1%), and Eastern Company (-1.8%).

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