The Egyptian Financial Supervisory Authority (EFSA) announced Sunday that it has received a tender offer from Orascom Investment Holding (OTH) to buy capital shared of the Sarwa Capital company. <\/p>\n
OTH\u2019s offer comes to buy a non-controlling interest in the company. <\/p>\n
The offer includes either the acquisition of 216 million shares of Sarwa Capital at a price of LE 7.36 or the acquisition of 144 million shares to 216 million shares at LE 6.62 per share, 10 percent less that the public offering price. <\/p>\n
The bidder has the right to accept or reject the deal in the event that the number of shares is less than 144 million shares. <\/p>\n
We hope to obtain the approval of the Financial Supervisory Authority to submit the offer and to follow the necessary legal procedures for that, OTH explained. <\/p>\n
Earlier Sunday, Sarwa Capital announced the purchase of 28.4 million of the company\u2019s shares at a public offering price of LE 7.36 during a trading session Sunday, as part of the company\u2019s strategy to stabilize the company\u2019s stock prices. <\/p>\n
The Egyptian Stock Exchange (EGX) had announced earlier that the transactions that occurred with the aim of stabilizing the financial investment company had reached 28.44 million shares. <\/p>\n
On October 4, the company announced that its private offering was oversubscribed around 10.83 times, recording a strong demand of c.LE 21 billion ($1.2B), with demand coming from over 280 institutional and high net worth investors. <\/p>\n
The company added that the final price of its public offering was set at LE 7.36 per share after the success of the book-building process for the institutional offering of 265.65 million ordinary shares. <\/p>\n
The company will allocate LE 700 million of the yields of public and private offerings to increase its capital by LE 95.11 million, in a closed subscription of selling shareholders at the offer price (LE 7.36). <\/p>\n
\u201cBased on the offer price, the company\u2019s post money market capitalization is LE 5.3 million,\u201d Sarwa stated. <\/p>\n
In October, Sarwa also announced that it will offer around 295.17 million shares, representing 47.2 percent of the total issued share capital, on the Egyptian Exchange (EGX). <\/p>\n
The statement added that the indicative price for its IPO ranges between LE 7.04 and LE 8 per share, with an expected offering size in the range of LE 2.1 billion to LE 2.4 billion. <\/p>\n
The shares are offered in two tranches consisting of: (i) a retail offering of 29.52 million shares to individual investors, representing 10 percent of the offering (the Retail Offering), (ii) a private offering of 265.65 million shares to qualified institutional investors, representing 90 percent of the offering (the Institutional Offering). <\/p>\n
Beltone Investment Banking is acting as Sole Global Coordinator and Bookrunner, and Marouk Bassiouny is acting as counsel to the issuer. <\/p>\n
In August, Sarwa Capital announced its intention to issue IPO on the EGX.
\nSarwa Capital is a provider of consumer and structured finance solutions in Egypt.<\/p>\n
Egypt Today<\/p>\n","protected":false},"excerpt":{"rendered":"
The Egyptian Financial Supervisory Authority (EFSA) announced Sunday that it has received a tender offer from Orascom Investment Holding (OTH) to buy capital shared of the Sarwa Capital company. OTH\u2019s offer comes to buy a non-controlling interest in the company. The offer includes either the acquisition of 216 million shares of Sarwa Capital at a […]<\/p>\n","protected":false},"author":40,"featured_media":115054,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7863],"tags":[43940,2484,43942],"class_list":["post-115053","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-english-section","tag-efsa","tag-egypt","tag-sarwa-capital"],"yoast_head":"\n