The Egyptian Exchange announced the completion of a mandatory takeover offer by Bank AlBaraka Egypt for the shares of Toufiq Leasing - A.T.L. The offer was not limited to a stock swap, but also included a cash option. On the day of the session, 273.72 million shares of the company were exchanged at a swap ratio of 0.1919 shares of Bank AlBaraka Egypt's capital increase against one share of Toufiq Leasing.
The mandatory takeover offer by Bank AlBaraka Egypt aimed to acquire up to 329.47 million shares, representing 90% and a minimum of 51% of the total shares in Toufiq Leasing. The offer was made to consolidate the company's shares and enhance its financial position. The Egyptian Exchange facilitated the transaction, ensuring compliance with regulatory requirements.
Bank AlBaraka Egypt's financial performance has been robust, with the bank reporting a net profit after tax of 1.85 billion Egyptian pounds during the first half of the year. The bank's pre-tax profit stood at 2.73 billion pounds, demonstrating its efficiency and ability to generate strong returns. Key performance indicators, such as the return on assets (ROA) and return on equity (ROE), were 2.3% and 23.5%, respectively.
The bank's financial position remains strong, with total assets growing by 3.9% to reach 151.6 billion pounds as of June 2026. Shareholders' equity increased to 16.2 billion pounds, representing a 3.6% growth compared to the end of 2025. Customer deposits continued to rise, reaching 127.5 billion pounds, with a 3.9% growth rate, reflecting increasing customer confidence in the bank.
The acquisition of Toufiq Leasing is expected to enhance Bank AlBaraka Egypt's presence in the leasing sector and contribute to its growth strategy. The bank aims to diversify its services and expand its market share in Egypt. The takeover offer was made in accordance with regulatory requirements and was subject to the approval of the Egyptian Exchange and the Financial Services Authority.
The Egyptian Exchange plays a critical role in facilitating transactions and ensuring compliance with regulatory requirements. The completion of the mandatory takeover offer demonstrates the exchange's ability to handle complex transactions and provide a platform for companies to raise capital and grow their businesses.
The acquisition is expected to have a positive impact on the Egyptian stock market, as it reflects the growing confidence of investors in the country's economy. The deal also highlights the increasing interest of banks in expanding their services and acquiring smaller companies to enhance their market share.
Key points
- Bank AlBaraka Egypt completed a mandatory takeover offer for 273.72 million shares of Toufiq Leasing.
- The acquisition aimed to consolidate 90% and a minimum of 51% of Toufiq Leasing's shares.
- Bank AlBaraka Egypt reported a net profit after tax of 1.85 billion pounds during the first half of the year.
