Cairo Bank has announced plans to list 30% of its shares on the Egyptian Stock Exchange. The bank's current shareholder, Bank of Egypt, will sell 4.575 billion shares, with the subscription expected to be completed by the end of October and trading to begin in November 2026, pending regulatory approvals. The initial public offering will consist of two tranches: a private offering for qualified investors in Egypt and abroad, and a public offering for individual investors in the Egyptian market.
The shares to be offered represent 30% of the bank's issued capital, while Bank of Egypt will retain the remaining shares after the deal is completed. The bank has appointed CI Capital as the lead manager and international coordinator for the offering, and EFG Hermes as the manager and international coordinator. Baker McKenzie will provide legal advice on US and English law, while Hamza and Partners, a member of Baker McKenzie International, will advise on Egyptian law.
Hussein Abaza, CEO of Cairo Bank, said that the listing represents a significant milestone for the bank, which has built a diversified business base including banking services for individuals, companies, small and medium-sized enterprises, and microfinance. The bank's business model focuses on achieving profitable margins, disciplined risk and portfolio management, and maintaining a strong financial position.
Abaza expressed his hope that new investors will join the bank's shareholder base and engage with investors as the bank begins a new phase of development as a listed company on the Egyptian Stock Exchange. The bank's listing plans are subject to regulatory approvals, including approval from the Egyptian Financial Supervisory Authority and registration of the bank's shares.
The Egyptian Stock Exchange has welcomed the bank's listing plans, which are expected to provide the company with access to new funding sources and enhance its visibility in the market. The exchange has recently seen increased activity, with several companies announcing plans to list their shares.
Cairo Bank's listing plans are part of a broader trend of Egyptian companies seeking to tap into the capital markets. The Egyptian government has been working to promote the development of the country's capital markets, including measures to simplify listing procedures and improve regulatory frameworks.
The listing of Cairo Bank's shares is expected to have a positive impact on the Egyptian Stock Exchange, which has seen significant gains in recent months. The exchange's main index has risen by over 20% in the past year, driven by investor optimism about the country's economic prospects.
Key points
- Cairo Bank plans to list 30% of its shares on the Egyptian Stock Exchange
- The bank's listing plans are subject to regulatory approvals
- The listing is expected to provide the bank with access to new funding sources and enhance its visibility in the market
