Egypt’s e-Finance recruits ZH&P for 2020 IPO
Egypt’s financial institutions operation company e-Finance has appointed local law firm Zaki Hashem & Partners (ZH&P) as legal adviser for its planned initial public offering (IPO), sources with knowledge said on Tuesday.
e-Finance’s IPO is part of the government’s programme, initiated in 2016, to offer minority stakes in several state-owned companies operating in banking, petroleum, services, chemicals, shipping, maritime, and real estate sectors to help boost state finances.
The company also hired Baker Tilly to set the price of its offering, which is expected to finalise in the first half of 2020, the sources further told Amwal Al Ghad.
Investment banks, Pharos and Renaissance Capital are managing e-Finance’s IPO.
The government intends to sell shares in dozens of state companies to boost public finances and draw more investors to the Cairo exchange. It hopes the sales will raise badly needed funds for the state and boost the private sector as the country implements austerity measures under the International Monetary Fund-programme and struggles to contain inflation and debt.
The list includes some companies already traded on the exchange and others that will hold an initial public offering.
The state owns vast swathes of Egypt’s economy, including three of its largest banks – National Bank of Egypt, Banque Du Caire, the United Bank of Egypt – along with much of its oil industry and real estate sector.