Banque du Caire opened subscriptions on Monday, 19 October, to an offer covering 30% of its capital on the Egyptian Exchange, with an indicative price of between 4.82 and 5.30 Egyptian pounds per share. The step follows the approval of the prospectus by the Financial Regulatory Authority, the FRA, the day before.
The transaction involves 4.575 billion existing shares sold by Banque Misr, the selling shareholder. At the top of the range, their value amounts to about 24.25 billion pounds. The proceeds of the sale go to Banque Misr, while Banque du Caire keeps the same number of shares in circulation.
The FRA approval document dated 18 October reserves 95% of the initial offer for qualified investors, notably financial institutions. The remaining 5%, or 228.75 million shares representing 1.5% of the bank's capital, are intended for the public offer in Egypt.
Private placement orders can be submitted until Friday, 23 October. The public subscription continues until Wednesday, 28 October, while the final price is to be announced on Monday, 26 October, according to the timetable reported by EnterpriseAM.
The documents allow the sale to be extended to 45% of the capital, subject to the regulator's approval. Any increase in the size of the offer must be announced at least three days before the public subscription closes.
The regulator's decision also provides that the approval of the Council of Ministers be sent to it before trading starts.