CI Capital-led group to lead Egypt state-owned Enppi’s IPO

A consortium led by CI Capital has won a mandate to act as lead managers and bookrunners for Egyptian state-owned oil company ENPPI’s initial public offering.

The consortium includes Jefferies International Limited and Emirates NBD Capital Limited, according to a statement released on Wednesday by both the Egyptian Ministry of Investment and International Cooperation and Ministry of Petroleum.

Egypt aims to raise up to $150 million from the bourse listing of Engineering for the Petroleum and Process Industries (ENPPI) in the first of a series of planned public offerings.

“The ENPPI IPO is only the beginning of a pipeline of state-run companies to offer minority shares publicly over the next year,” Minister of Investment and International Cooperation Sahar Nasr said in the statement.

The government would retain majority stakes in these enterprises while helping via the IPOs to increase the size and liquidity of Egypt’s stock market, the minister said.

The presidency announced in January 2016 that Egypt would offer shares of “successful” state-owned companies and banks on the local bourse – its first public offering of government-owned firms since 2005, when it offered shares in Telecom Egypt, AMOC, and Sidi Kerir.

Enppi was established in 1978, and is currently working under the Egyptian Investment Law 8 for 1997, with a paid in capital of $220 million. The state-run Egyptian General Petroleum Corporation (EGPC) is the principal shareholder owning 97 percent of the total shares.
Enppi is a major engineering and EPC contractor that provides full integrated engineering, procurement, construction supervision, and project management services for oil and gas, chemical, petrochemicals, power sectors and other related industries in Egypt, Middle East, North Africa, and South America.