Egypt’s NI Capital prepares IPOs of two government firms this year – CEO

NI Capital Holding Company expects to complete offering shares of two government-run firms within 2021 as part of the Egyptian government’s IPO programme, its chief executive Mohamed Metwally told Amwal Al Ghad.
The government-owned financial institution plans to launch the share sale of one of the two firms before the end of the first quarter of 2021, while the second firm’s IPO is expected to be finalised within the second half, Metwally said.
NI Capital was mandated by the Egyptian government to prepare an IPO programme that will see multiple state-owned companies listed on stock exchanges in Egypt and potentially abroad, he added.
The programme is aimed at reinvigorating capital markets in Egypt by offering stakes in promising state-owned enterprises to the public.
The company is responsible for the overall strategy and mechanics of the IPO programme and will award mandates to leading national, regional and global investment banks as appropriate to serve as global coordinators and book runners.
Any initial public offering within the second phase of the government offering programme has been postponed due to coronavirus crisis which led to volatility in the global market.
As part of the economic reform programme, the government targets offering 15-30 percent of stakes in state-owned companies on the Egyptian stock exchange (EGX) to increase funding to Egyptian companies, maximise the benefit from state assets, and attract local and foreign capital flows to Egypt.