EFG-Hermes concludes $290 million Egyptian Medical Group IDH’s London Offering
EFG Hermes, the Arab world’s leading investment bank, announced it concluded today its successful advisory on Integrated Diagnostics Holdings Plc.’s (IDH) Initial Public Offering (IPO) on the London Stock Exchange (“LSE”), offering 43.5% of the company, excluding an additional 6.5% over-allotment option.
The firm acted as the joint global coordinator and joint bookrunner on the transaction, which marks the first time EFG Hermes advised on a primary listing on the LSE. The IPO also represents the first primary listing of an Egyptian healthcare business on the LSE.
11 times oversubscribed
The offering raised total demand in excess of US$ 3.7 billion, which reflects an oversubscription ratio of approximately 11.2x. The US$ 290 million offering excludes the over-allotment option and implies a market capitalization of approximately US$ 668 million at an offer price of US$ 4.45 per share.
“Our ability to raise demand of this nature for a third MENA listing in as many months is a testament not only to the strength of our distribution platform, but to the deep interest of our global client base in the transactions we bring to market,” said Karim Awad, CEO of EFG Hermes. “From London to New York, Cairo to Dubai, South Africa and beyond, ours is a network of investors with an appetite for MENA opportunities who trust us to offer them compelling deals — the very same ones for which leading Arab world corporates turn to us for world-class advisory.”
EFG Hermes recently concluded transactions including the heavily oversubscribed listing and secondary offering of Edita Food Industries on the Egyptian Exchange (“EGX”) (as well as the listing of GDRs on the LSE), where EFG Hermes was joint global coordinator and joint bookrunner for the institutional offering; and the dual-listing of Orascom Construction on the EGX and the Nasdaq Dubai, where the firm acted as the sole global coordinator as well as sponsor of the Nasdaq Dubai listing.
“We are particularly delighted that the IDH listing attracted such interest from prominent North American, European and Middle Eastern investors,” said Mohamed Ebeid Co-Head of Securities Brokerage at EFG Hermes. “The strength of our distribution platform in general — and our unrivalled ability to generate global demand outside our home region — has given IDH a very healthy and stable base of institutional shareholders who have bought deeply into management vision for a dynamic growth platform that will harness the power of both regional demographics and spiralling spending on healthcare by governments and consumers alike.”
Ahmed El-Guindy, Head of Investment Banking at EFG Hermes, said: “This is a particularly gratifying listing for the entire team, backed by years of work culminating in the success of today’s offering. Our team has been present since the creation, having advised on the original merger of Al-Mokhtabar and Al-Borg labs in 2012 to create IDH, in its current form, and today helping IDH’s founder, Dr. Hend El-Sherbini, take the company to the next level.”
El-Guindy concluded: “IDH has helped transform and institutionalize an industry that until today was dominated by individual practitioners. Today, IDH is the largest fully-integrated private-sector medical diagnostic services provider in Egypt, with full pathology and molecular diagnostics, genetics testing, and basic radiology. Moreover, the company is now growing its own unique regional footprint. We are honoured to have played a role in this and look forward to being a part of that growth story again at some time in the future.”
