Egypt Plans Two-Stage Sale of 40% Stake in Misr Life Insurance, Targeting Gulf Funds
Egypt is preparing to sell up to 40% of Misr Life Insurance through a two-stage transaction expected to begin in mid-October, with Gulf investment funds among the investors being targeted for the deal, according to people familiar with the plans.
The proposed structure would represent a significant expansion from the government’s previously announced plan to offer around 20% of the state-owned insurer through the Egyptian Exchange.
The first stage is expected to involve the sale of a strategic stake to investors, with Gulf funds among the potential buyers being approached, while a subsequent stage would involve an offering through the stock market.
Final allocations between the two stages will depend on the transaction structure, investor demand and regulatory approvals.
From a 20% IPO to a broader 40% transaction
Preparations to bring Misr Life Insurance to the Egyptian Exchange have been underway for months.
The company was temporarily listed on the EGX in March with issued capital of EGP 5 billion, divided into 500 million shares with a nominal value of EGP 10 each.
The Sovereign Fund of Egypt subsequently invited investment banks to compete for the mandate to manage an offering of up to 20%, before selecting EFG Hermes as the transaction manager in May.
In June, the extraordinary general assembly of Misr Insurance Holding Company formally approved the sale of a 20% stake through the EGX.
The latest plan to place as much as 40% in two stages would therefore broaden the transaction beyond the original public offering structure.
Gulf funds emerge as potential anchor investors
Targeting Gulf investment funds could give the government an opportunity to bring a long-term institutional investor into the company before opening the next stage to a wider group of investors.
Such a structure could also provide an early valuation benchmark for the subsequent market offering.
Misr Life Insurance is one of Egypt’s largest life insurers, with an estimated 22% share of the domestic life insurance market by premiums. Shareholders’ equity stood at around EGP 42 billion as of September 2025.
The company is controlled by Misr Insurance Holding Company, which is affiliated with the Sovereign Fund of Egypt.
One of Egypt’s major state offerings
The transaction comes as Egypt seeks to accelerate its state-asset offering program and increase private-sector participation in government-owned companies.
Misr Life Insurance is particularly significant because the transaction would bring one of the country’s largest state-controlled insurance businesses to public and institutional investors.
The government has already completed several preparatory steps, including restructuring the insurer’s shareholder base, securing its temporary EGX listing and appointing an offering manager.
If the expanded 40% transaction proceeds as planned, the combination of a strategic placement and a stock market offering would also mark a different approach to privatization — using institutional capital to anchor the transaction while retaining the EGX as a mechanism for broadening ownership.
The first stage is currently targeted to begin around mid-October, although the timetable and final size of each tranche remain subject to completion of the transaction process and necessary approvals.