According to the sources, the shares will be listed on the Egyptian stock exchange, with a book-building process aimed at institutional investors starting as soon as the next few days
Egypt is reportedly planning to sell an additional 10% stake in state-run Telecom Egypt through a share sale this month, according to sources who spoke to Bloomberg.
The move would be in line with the country's efforts to raise reassure investors and attract foreign investments.
According to the sources, the shares will be listed on the Egyptian stock exchange, with a book-building process aimed at institutional investors starting as soon as the next few days.
The indicative price for the offering has been set at EGP 22.25 per share, representing an offering size of approximately $122.8 million. Telecom Egypt's last close was at EGP 23.14, which makes the indicative price a discount of 3.8%.
The offering, first discussed in March, would be part of the government’s privatization or IPO program which aims to sell stakes in state-owned companies to attract investors, and as part of their efforts to exit certain sectors and encourage private sector growth.
Telecom Egypt is 80% owned by the government and was not included on the initial list of 32 state enterprises up for sale. The company also holds a 45% stake in Vodafone Egypt, which officials have been considering selling to Gulf-based investors either in total or in part. Telecom Egypt has not yet commented on the matter, and the country's communications and information technology ministry declined to provide any comment.
