Egyptian developer Bonyan for Development and Trade on Sunday began an initial public offering (IPO) of a 21.94% stake on the Egyptian Exchange, with the subscription period running until July 15.
The company aims to expand its ownership base by offering up to 362,903,226 shares through a public offering and a private placement, according to a statement from the exchange.
The exchange statement set a maximum price of EGP 5.44 per share, with the final price to be determined through a book-building process.
The first tranche, a public offering, consists of 18,145,161 shares, representing 5% of the total shares offered and 1.10 per cent of the company’s total issued shares.
Subscriptions for this tranche will be accepted at a fixed price of EGP 5.44 per share from Sunday, July 6, until Tuesday, July 15. The minimum order is 100 shares and the maximum is 200,000 shares.
The second tranche, a private placement for institutions and high-net-worth individuals, comprises 344,758,065 shares, representing 95 per cent of the offering and 20.84 per cent of the company’s total issued shares.
The subscription period for this tranche runs from Sunday, July 6, to Thursday, July 10, with an indicative price range of 4.96 to 5.44 pounds per share. The minimum order value is EGP 1m, rising to EGP 10m for financial institutions.
The final offer price, determined by the book-building process of the private placement, will be announced in newspapers by Friday, July 11, at the latest, and disclosed to the exchange by Sunday, July 13.
