Arab Finance: Banque du Caire’s public share offering closed with demand reaching 27.08 times the shares available, as investors ordered nearly 9.291 billion shares ahead of the bank’s expected trading debut on the Egyptian Exchange (EGX) on November 2.

The subscription results showed an allocation ratio of 0.0369. The public subscription ran alongside a private placement targeting financial institutions, experienced investors and high-net-worth individuals as part of a partial sale of Banque Misr’s ownership in the bank.

The offering was expanded from 30% to 45% of Banque du Caire’s issued share capital following approval from the Financial Regulatory Authority (FRA). The bank is completing the remaining regulatory requirements before trading begins under the ticker BQDC.

The final offering price was set at EGP 5.30 per share, the upper end of the indicative range of EGP 4.82 to 5.30. That range valued the bank at approximately EGP 73.5 billion to EGP 80.8 billion, based on its outstanding shares. The final price also matched the estimated fair value established in a study by independent financial adviser Baker Tilly.

 It is worth noting that Egypt’s Cabinet approved offering a 30%-45% stake in the bank on the EGX. The decision follows a communication dated October 15, concerning the proposed sale of a stake in Banque du Caire.

The approval was granted during the Cabinet’s 116th session on October 22. The Financial Regulatory Authority (FRA) was tasked with taking the necessary measures in coordination with the relevant authority at Banque Misr, Banque du Caire’s parent bank.