The Egyptian cabinet has resumed its IPO program to sell its stakes in state-owned companies, announcing 32 planned companies
The Egyptian cabinet has resumed its IPO program to sell its stakes in state-owned companies, announcing 32 planned companies.
Starting from Q1 of 2023, Egypt will hold initial public offerings (IPOs) for 32 state-owned companies to strategic investors via offerings on the EGX and a mix of both, revealed Prime Minister Mostafa Madbouly.
The PM revealed that the IPOs will include companies from 18 sectors, selling stakes in companies within sectors such as banking, insurance, construction, energy, tourism, oil, energy, and petrochemicals.
Catch up on the details > PM reveals details on revived IPO program, state will sell stakes in 32 companies
Banking and Insurance
Banque du Caire will finally be publicly listed after its IPO was delayed due to poor market conditions. Arab African International Bank (AAIB) and United Bank are also part of the list.
Insurance companies have also been included for the first time, with Misr Life Insurance and Misr Insurance getting ready for their debut.
Military-owned Companies
There was no surprise to see bottled drinks company Safi and fuel retailer Wataniya on the IPO program list.
In September, the prime minister confirmed the two companies’ place in the list, noting that they being restructured in preparation for their public listing. The original announced expected the IPO to go through before the end of 2022.
In January, the Sovereign Fund of Egypt (SFE) was reported to have added five state and military-owned companies to its pre-IPO fund, including Wataniya and Safi.
Oil and Petrochemicals
The Oil and Petrochemicals sector led the list with the most entries.
The Egyptian Polypropylene and Polypropylene Company (EPP), the Egyptian Drilling Company (EDC), The Egyptian Ethylene and Derivatives Company (Ethydco), Egyptian Linear Alkyl Benzene (Elab), Helwan Fertilizers Company, Chemical Industries Development Company (CID), and Pachin.
Manufacturing
Industrial and manufacturing companies include Misr Concrete Development Company, Sinai Manganese Company, El Nasr Mining, and the Egyptian Ferrous Alloys Company.
Plastic producer Alamal Alsharif Plastics and pharmaceuticals company Misr Pharma were also listed.
Real Estate
The sector’s offerings will be El Nasr Housing and Development, Maadi for Development and Construction, El Mostakbal for Urban Development and Salhia Investment and Development Co.
Hotels owned by the Public Sector Ministry (Following EGOTH) will also be up for sale.
Ports
The Suez Canal Authority’s Canal Company for Mooring and Lights, as well as Port Said Container & Cargo Handling Co. (PSCCHC) and Damietta Container & Cargo Handling Co (DCHC) have been included in the program.
Other
Tech company, Misr Technology Services (MTS), was listed as the only tech firm.
Egypt will also be selling stakes in three power plants; the 580-MW facility in Gabal El Zeit; the 545-MW facility in Zafarana; and the Siemens-built, 4.8 GW combined-cycle power plant in Beni Suef.
