Rana Mamdouh_ Banque du Caire announced that the expected first day of trading for its shares on the Egyptian Exchange (EGX) is early next November, with subscription for the retail tranche starting tomorrow, Monday, October 19, until Wednesday, October 28.
Banque du Caire stated in its press release issued today that receiving purchase orders for the private placement tranche will begin tomorrow, Monday, through Friday, October 23.
It noted that the indicative price range for the initial public offering (IPO) of 4.575 billion existing ordinary shares, representing 30% of the bank's issued capital, on the Egyptian Exchange (EGX).
It pointed out that the offering is expected to take place through the sale by Banque Misr (the Selling Shareholder) of a portion of its existing shares in Banque du Caire.
It indicated that the transaction includes a private placement tranche for qualified investors in Egypt and qualified investors in several countries, including qualified institutional buyers in the United States pursuant to Rule 144A under the US Securities Act of 1933, as amended (the US Securities Act), and to investors outside the United States in reliance on Regulation S under the US Securities Act (the Private Placement), comprising 4.346 billion shares.
It also includes a public offering open for public subscription in Egypt (the Public Offering), comprising 228.750 million shares.
According to Banque du Caire's statement, the indicative price range for the offering has been set between EGP 4.82 and EGP 5.30 per share, and the final offering price per share will be determined pursuant to the book-building process for the Private Placement.
It announced that the indicative price range reflects an offering size ranging between EGP 22.05 billion and EGP 24.25 billion, and a market capitalization ranging between EGP 73.51 billion and EGP 80.83 billion.
It noted that the mentioned dates are indicative and subject to change, including the extension of order submission periods in accordance with the offering prospectus, and subject to obtaining the necessary regulatory approvals, as the bank is currently working on satisfying the required approvals regarding the offering.
Commenting on the offering, Hussein Abaza, Managing Director and CEO of the bank, said: “We announce the indicative price range for the proposed offering of Banque du Caire's shares on the Egyptian Exchange, in an important step toward commencing the trading of its shares, as one of the largest banks in Egypt.”
He added: Banque du Caire has successfully built a solid and diversified business base encompassing retail, corporate, SME, and microfinance banking services, anchored by a distinguished approach focused on achieving rewarding profit margins, disciplined risk and portfolio management, and maintaining a strong financial position.
He continued: “We look forward to welcoming new investors to Banque du Caire and to engaging with the market as the next phase of the bank's evolution unfolds as a listed institution.”
It is worth noting that the bank appointed CI Capital Investment Banking to act as Sole Global Coordinator and Bookrunner for the offering, and EFG Hermes Promoting and Underwriting to act as Joint Global Coordinator and Bookrunner.
Baker McKenzie was also appointed as legal counsel to the bank and the Selling Shareholder regarding US and English law, and Helmy, Hamza & Partners – members of Baker & McKenzie International, as legal counsel regarding Egyptian law for the purposes of the offering.
