Egypt in talks with Italian Intesa Sanpaolo to fully acquire Alexbank

CAIRO - 24 September 2023: Intesa Sanpaolo Group is seeking the possible acquisition of Alexbank’s remaining 20 percent stake owned by Egypt.

This comes in the framework of Intesa Sanpaolo's plan to boost their investments in Egypt and expand in financing small and medium projects (SMEs).

Negotiations are in the initial stages with the Egyptian government, according to local media citing Alexbank’s Head of International Subsidiary Banks Division, Marco Rottigni.

This comes within Egypt's IPO program to offer stakes in 35 state-owned companies to strategic investors through 2024. This program has plans to raise $5 billion by June 2024.

Earlier in 2006, Egypt sold 80 percent of Alexbank for $1.6 billion to Sanpaolo IMI. In the following year, Sanpaolo IMI merged with Banca Intesa to create what is now Italy’s largest banking group, Intesa Sanpaolo.

Intesa Sanpaolo owns 80 percent of ALEXBANK after buying back in 2020 a 9.75 percent stake it had sold to International Finance Corporation in a deal that was reportedly valued at $161.8 million.