Two state-owned real estate companies seek investment through capital increases: State-owned real estate companies El Nasr Housing and Development and Maadi for Development and Construction will drum up investments from strategic investors through capital increases rather than selling stakes from existing shareholders, a source with knowledge of the matter told Enterprise yesterday on condition of anonymity. The two companies are part of the list of 32 state-owned companies in which the Madbouly government plans to sell stakes over the next year. Further information about the potential transactions wasn’t disclosed.

Any suitors in sight? “The two real estate players have received several offers in the past but the companies are currently re-evaluating the financial valuation of their assets and conducting a revised internal fair-value study,” our source said.

What’s next? The Holding Company for Construction and Development (HCCD) — the parent company of El Nasr Housing and Maadi for Development — is currently working on hiring advisors on the potential transaction, said the source, adding that making public share offerings in the two companies will come at a later stage.

REFRESHER- The government plans to sell stakes in 32 state-owned companies over the next year under a rebooted privatization program designed to pull the country out of its financial crisis and secure much needed FX. The state will offer shares to strategic investors, via offerings on the EGX and a mix of both over the next 12 months. The government could add another eight names to its list of companies destined for privatization, Finance Minister Mohamed Maait said last week, without elaborating.