Egypt to Sell Stake in 10 Companies Next Year

AFRICAN STOCKS AND FINANCEDecember 18, 2024 at 10:58 AM UTC

TLDR

The Egyptian government will sell stakes in 10 companies in 2025
Banks included in the plan are ALEXBANK and Banque du Caire
Shares will be sold to strategic investors and through the Egyptian Exchange (EGX)

Prime Minister Mostafa Madbouly announced that the Egyptian government will sell stakes in 10 companies in 2025, including banks, state-owned enterprises, and Armed Forces-affiliated firms. The move is part of economic reforms aimed at attracting investments and improving governance.

Banks included in the plan are ALEXBANK and Banque du Caire. State-owned projects such as the Gabal El-Zeit wind farm and Misr Pharma will also feature, along with Armed Forces-affiliated firms Wataniya, Safi, SILO Foods, and Chill Out.

Wataniya and Safi stakes will be offered mid-year, with SILO Foods and Chill Out following by year-end. Shares will be sold to strategic investors and through the Egyptian Exchange (EGX). Details on percentages and terms are forthcoming.

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Points clés à retenir

Egypt’s stake sales are part of the State Ownership Policy to streamline public sector involvement. The government oversees 59 economic entities, 28 of which will undergo governance reforms. Some entities will be merged or liquidated, while others will transition to public bodies to meet operational standards. Energy remains a focus, with 65% of the Egypt-Saudi Arabia electrical connection project completed. These initiatives aim to stabilize the economy, attract global investment, and position Egypt as a regional hub for development. The planned offerings on the EGX signal a push to revitalize the stock market, potentially boosting liquidity and investor confidence in Egypt's economic trajectory.

Egypt

EGX

Finance

ALEXBANK

Banque du Caire

Gabal El-Zeit