Egypt’s FRA grants EGX-listed companies right to obtain not listed
The Egyptian Financial Regulatory Authority (FRA) announced that the listed companies are now allowed to capture non-listed ones as part of two new amendments to EGX listing rules regulating company listings and write-offs in the Egyptian stock market.
The new amendment is on condition that their value is equal to or greater than that of the buyer if the acquired companies meet all EGX listing rules. However, If the transaction results in the listed company’s float falling below the EGX threshold, it will be committed to meet the EGX continuity rules within one-month by floating additional shares.
The new amendments are conforming the supervisory role of the FRA, which obligates it to protect traders, listed companies, and shareholders’ rights.