According to sources, the fund is currently in talks to negotiate with the National Investment Bank
The Egyptian Sovereign Fund is looking to acquire a larger stake in the Financial Institutions Operating Company, E-Finance. E-Finance is affiliated with the National Investment Bank, who owns a majority stake.
According to sources, the fund is currently in talks to negotiate with the bank, the largest shareholder with 69 percent, to acquire a larger and more influential stake.
Sources mentioned that that the fund is currently conducting an evaluation process for the company to determine its value and determine the percentage it will acquire.
The deal is expected to be implemented during the first half of the current year.
The acquisition comes within the framework of Egypt’s sovereign fund’s interest in the non-banking financial services sector, especially with the spread of the Corona pandemic.
The company’s shareholder structure includes the National Investment Bank which owns 69 percent of the company, the National Bank of Egypt at 9 percent, Banque Misr at 9 percent, and the remaining percentage distributed between Egyptian Banks and the Egyptian Investment Projects Company.
The sources highlighted that the fund owns a sub-fund in non-banking financial services, and the company is an opportunity for it in light of its possession of a large portfolio of clients within the government sector.
It is worth noting that the investment bank “NI Capital”, the advisor for the government IPO program, has appointed the investment bank Pharos and Rains Capital to take over the management of the company’s offering on the stock exchange within the government IPO program, and Zaki Hashem’s office, attorneys and lawyers, will provide legal advice for the process.
