CAIRO – 10 January 2024: Egypt is planning to include 61 new companies in its Initial Public Offering (IPO) program. While the specific companies were not disclosed, priority will be given to sectors such as airports, telecommunications, banking, and insurance, according to sources cited by local media.
The new companies are reportedly affiliated with various entities, including the National Investment Bank, the Ministry of Finance, the Central Bank, the Ministry of Public Business Sector, and the Ministry of Transport.
In December 2023, the Arab Company for Tourism and Hotels Investments (ICON), a subsidiary of Talaat Mostafa Holding Group, finalized the acquisition of seven state-owned hotels in Cairo, Alexandria, and Aswan through Egypt's IPO program.
These historic hotels are owned by a newly established company named Legacy Hotels. ICON acquired a 39 percent stake in Legacy Hotels with the option to increase it to 51 percent through a capital increase. The total value of the deal is expected to reach $800 million, and it will be financed using ICON's internal resources.
Egypt's IPO program consists of a list of 35 state-owned companies that are offered to strategic investors, the public through the Egyptian Stock Exchange, or both, with the aim of generating foreign currency, in line with the state-owned policy document.
As previously reported by the Cabinet's Information and Decision Support Center (IDSC) in August 2023, the Egyptian government aims to raise $5 billion by offering shares of select state-owned companies to strategic investors between October 2023 and the end of June 2024.
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