Investors Commit to Buying 63% of Private Tranche in Banque du Caire Offering

Banque du Caire signed investment agreements with a group of qualified investors to purchase approximately 63% of the first tranche in its private placement, according to a disclosure submitted to the Egyptian Exchange. The agreements were concluded in cooperation with Banque Misr, the main shareholder in Banque du Caire.

The list of investors included Mauritius-based Sustainable Capital, which committed to purchasing up to 18% of the first tranche, alongside entities affiliated with Redwheel, namely RWC Asset Advisors in New York and RWC Asset Management, which received a combined allocation of up to 11%. UAE-based Waha Investments Limited committed up to 9%, and Helikon Investments committed up to 25%.

The offering aims to sell up to 4.575 billion shares, representing 30% of the bank's issued capital, including 4.34625 billion shares in the private tranche and 228.75 million shares in the public offering. The indicative price range was set between 4.82 and 5.30 EGP per share, while the public offering price was set at 5.30 EGP.

Purchase orders in the public tranche reached approximately 97 million shares on the first day of subscription, equivalent to 42.4% of the shares allocated to it. The order reception process will continue until October 28, with the final price to be determined after the private tranche closes according to the book-building mechanism.

What do these terms mean?

Private Placement: The sale of shares to qualified investors or institutions without offering them to the general public.

First Tranche: The initial portion of an offering allocated to a specific category of investors.

Book-building: The process in which the offering manager collects purchase orders to determine the final price and quantity of shares allocated to each investor.

Indicative Price: An initial price set by the security issuer before the offering is completed, used as a reference for investors.