Egypt’s Arabian Cement Announces IPO Plan

Big 5

Arabian Cement company has announced on Sunday its IPO plan for the Egyptian stock market (EGX).

The EGX, added in a statement that it has received the IPO plan, the Fair Value (FV) study, the auditor’s report, the auditor’s report, and a certificate from the company about its direct and indirect shareholders.

The company stated that its stock will be traded in the stock market to increase its shareholders with a maximum of 85,202,200 shares which represent 22.5% of the company’s capital at a maximum price of EGP 9.85 per stock

The company announced that 6.5% of the offered shares will be allocated to individuals and legal persons, 15.75% for financial institutions, and 0.23% for the company’s employees.

For individuals and legal persons, orders will be placed at brokerage companies for 8 days ending on 13 May 2014.

For Financial institutions, allocations will be done through Book Building system with a dead line of 11 May 2014.

It will be the first major IPO on the Egyptian stock exchange since the overthrow of autocrat Hosni Mubarak in 2011.

Arabian Cement Company, 60% owned by a Spanish cement producer Cement La Union (CLU),  is one of the leading cement producers in Egypt which was established in 1997; its plant has two cement production lines with a total cement production capacity of 5mtpa.