Arabia Group to issue stake of 20-30% in EGX

CAIRO – 14 March 2018: Arabia Group for Real Estate Investment started negotiations with the Egyptian Exchange’s (EGX) board to issue a stake of the group in the exchange market by the end of 2018 to increase the capital.

The group clarified that the increase of its capital will be used to finance its upcoming expansion in the real estate market.

Chairman of Arabia Group for Real Estate Investment Tarek Shoukry said that the company will issue a stake of 20-30 percent in the Egyptian Exchange by the end of 2018.

Shoukry added that the company is now preparing for the issue by studying the governance rules and evaluating its financial status.

Shoukry affirmed that the group’s board hasn’t chosen an issue consultant yet; the board might pick an Egyptian company during the upcoming period.

He also emphasized that the issuance of the group’s stake this year is appropriate to the improvement of the Egyptian Exchange’s performance and the increase of foreign investment volume.

Arabia Group for Real Estate Investment is a holding group with 10 subsidiaries. It was established in 1992 and started working in the field of construction of residential buildings in Heliopolis and Nasr City in Cairo and Agamy in Alexandria.

Arabia Group for Real Estate Investment is not the only real estate company that aims at issuing a stake in the exchange market, as Al Ahly For Real Estate Development (SABBOUR) intends to issue a stake of 20-30 percent of the company in the market.

The real estate sector in EGX includes about 32 companies as Palm Hills, Talaat Mustafa Group, Emaar Misr and Medint Nasr for Housing.