Egypt Prepares Banque du Caire IPO on EGX Following Fair Value Upgrade to EGP 80B
The Egyptian government is gearing up to float a stake in Banque du Caire on the Egyptian Exchange (EGX), bolstered by an upward revision in the lender's fair valuation just months ahead of the planned listing under the state’s privatization program.
Asharq Bloomberg reported that the financial advisor to Banque du Caire raised the bank’s fair value by roughly 2% to range between EGP 80 billion and EGP 80.5 billion, based on the lender's financial statements as of June 30.
Egypt aims to offer a 30% to 40% stake in Banque du Caire on the domestic bourse, targeting proceeds exceeding EGP 30 billion, according to estimates cited by Asharq Bloomberg.
Bank’s Fair Valuation
The updated fair valuation comes as part of advanced preparations for the listing, which stands as one of the most prominent banking IPOs anticipated in Egypt's capital market in the coming period.
The government previously initiated procedures to finalize the bank’s fair value study to conclude the remaining offering milestones, appointing transaction advisors to manage the listing alongside an independent financial advisor to determine the bank’s valuation.
In tandem with shifts in the bank’s ownership structure, the European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC) plan to acquire a combined stake of approximately 10% in Banque du Caire.
The planned public offering aligns with the Egyptian government’s strategy to broaden its IPO program, expand private sector participation in state asset ownership, deepen liquidity in the capital market, and attract fresh domestic and foreign capital inflows.
Banque du Caire is one of Egypt’s largest state-owned lenders. The planned market debut follows years of previous attempts to execute the listing, making it one of the most closely watched transactions in the Egyptian market.