Daily News Egypt

Enppi's 24% IPO on EGX likely to take place in Q2: source - Daily News Egypt

Advertising Area

Advertising Area

Enppi’s 24% IPO on EGX likely to take place in Q2: source

All legal, procedural hurdles related to sale have been cleared 

Engineering for the Petroleum and Process Industries (Enppi)’s initial public offering (IPO) on the (Egyptian Exchange) EGX is underway in full swing, with all legal and procedural hurdles cleared, a senior governmental source told Daily News Egypt.

“All hurdles have been cleared. We are now awaiting the company’s decision to start a roadshow for some major investors around the globe. We anticipate the company to go public by the beginning of the second quarter (Q2) of the year,” the source, who spoke to Daily News on condition of anonymity, confirmed.

Last week, CI Capital Chairperson and CEO Mahmoud Attallah said that his company, which is advising Enppi on its IPO, has cleared all legal and procedural hurdles.

“All procedures to launch the IPO have been approved by the ministerial committee supervising the state IPO program,” said Attallah.

He did not, however, give a time frame for the transaction.

But the governmental source said the IPO might take place in the second quarter of the year.

Investment and International Cooperation Minister Sahar Nasr had said last year that the listing, on which CI Capital is advising alongside Emirates NBD and Jefferies Group, will take place in Q1 2018.

Enppi plans to offer 24% of its shares on the stock exchange and consider the fair value of the shares in coordination with NK Capital.

Egypt plans to embark on its first sale of shares in a state-owned company in 12 years.

It aims to raise up to $150m from the stock market listing of Enppi in the first of a series of planned public offerings.

The Enppi IPO is only the beginning of a pipeline of state-run companies to offer minority shares publicly over the next year.

The government would retain majority stakes in these enterprises while helping, via the IPOs, to increase the size and liquidity of Egypt’s stock market.

Topics: EGX Enppi IPO

Advertising Area

Breaking News

No current breaking news

Receive our daily newsletter