Egypt’s Sarwa Capital to raise $134 mln in initial public offering

Egyptian financial services company Sarwa Capital plans to raise 2.1 billion to 2.4 billion Egyptian pounds ($112 million to $134 million) in an initial public offering (IPO).

As part of its strategy to stabilize the stock prices, Sarwa Capital will buy 28.4 million of its shares at a public offering price of $0.41 per share after the success of the book-building process for the institutional offering of 265.65 million ordinary shares.

Sarwa Capital, which listed its shares on the Egyptian Stock Exchange, will allocate $39 million to increase its capital by $5 million, in a closed subscription of selling shareholders at the offer price of $278,000.

Egyptian investment firm Beltone Investment Banking is acting as sole global coordinator and book-runner, and law firm Marouk Bassiouny is acting as counsel to the issuer.