Pioneers Holding to invest LE 2.9B in a year

CAIRO – 19 April 2018: The board of Pioneers Holding Company for Financial Investment SAE (PIOH) approved to invest LE 2.9 billion in a year.

The company clarified in a filling to the Egyptian Exchange (EGX) that the investment plan will be financed through the divestments of LE 1.8 billion and by increasing the company’s capital by LE 1.1 billion.

The filling noted that the divestments will include a partial exit from its subsidiary Rooya Holding, in addition to other full or partial exits from other investments.

Pioneers' board member Khaled el Tayeb said that the company sees investment in medical and food sectors.

Pioneers Holding’s capital records LE 3.6 billion, distributed over 708.4 million shares at a par value of LE 5 per share.

In 2016, Pioneers allocated 60 percent of Rooya Holding’s shares for LE 1.23 billion.

It targets to float 40 percent of Rooya Holding in EGX during the first half of 2018.

The state's IPO program comes in light of the economic reform program adopted by Egypt, which is conducted under the supervision of the Ministry of Investment.

It covers a period of three to five years, aiming to offer partial stakes in some state-owned companies on the stock exchange (EGX). It will serve as a main tool to attract local and foreign capital flows to Egypt.

The state's program seeks to float some state-owned companies in the EGX under a five-year program. It also aims to increase funding to Egyptian companies and maximize the benefit from state assets.

Pioneers Holding Company for Financial Investment SAE (PIOH) marked a 5.3 percent gross in its annual profits to reach LE 1.14 billion ($64.70 million) before minority, compared to LE 1.08 billion in 2016.

Pioneers Holding Company for Financial Investment SAE (Pioneers Holding) is a public company, listed on the Egyptian Exchange (EGX) since June 2008.

It operates within the diversified financial sector focusing on investment banking and brokerage.

It has 34 subsidiaries operating across North America, Northern Africa and Middle East. Pioneers Holding is based in Cairo, Egypt and was established in March 2007.