EMRC In Talks To Increase Capital By EGP 5 Mln

Egyptian Mortgage Refinance Company (EMRC) will be discussing next week raising its capital by EGP 5 million, which will increase its paid-up capital from EGP 240 million to EGP 245 million.

Iman Ismail, managing director, said EMRC has received three letters offering to contribute in the capital increase. The Tamweel Mortgage Finance Co., a current shareholder in EMRC, targets increasing its share from EGP 990,000 to EGP 3 billion.

In addition, Al Ahly Mortgage Finance Co. and Sakan Finance Co. requested to contribute in the capital with EGP 2 million and EGP 1 million respectively. EMRC offers shareholders a refinance of 75 times the value of the capital share, Ismail said.

The Central Bank of Egypt’s share will retreat after the capital increase from 16.6% to 16.29%, Ismail said, adding that the current ownership structure includes 27 institutions; most prominently is the central bank. Among the shareholders, there are five mortgage companies which are: Amlak Mortgage Finance Company, Tayseer Mortgage Finance Co., Tamweel Mortgage Finance Co., Tameer Mortgage Finance Co. and Egyptian Housing Finance Company.

There are also International Finance Corporation and Mortgage Finance Guarantee and Subsidy Fund. In addition, the banks contributing in the capital are National Bank of Egypt, Arab Bank, HSBC, BNP Paribas, Commercial International Bank, Banque Misr, Piraeus Bank, Misr Iran Bank, Housing and Development Bank, Ahli United Bank, Arab African International Bank and NSGB.