Arab Finance: The private offering of Korra Energi has been covered 2.7 times on the first day of subscription, according to a disclosure by Prime Capital.

Subscriptions for the private placement, which includes 148.5 million shares, opened on May 18th and will continue until May 24th.

Korra Energi plans to offer a total of 247.5 million shares, representing 11% of its capital, at an offering price of EGP 2.97 per share.

The offering price was set after applying a discount to the fair value of EGP 3.20 per share, as determined by the independent financial advisor, Baker Tilly Egypt.

Under the IPO structure, 60% of the shares are open to institutional investors for subscription under the private placement, while the remaining 40% will open to retail investors for subscription through a public offering.

The company appointed Prime Capital as the IPO bookrunner and El Sherif Law Firm & Consultants as legal counsel for the transaction.

Ayman Korra, President and CEO of Korra Energi, previously said the IPO is expected to support the company’s long-term growth plans and broader expansion strategy.

Founded in 1997, Korra Energi operates across the energy, agriculture, and construction sectors. The group has expanded internationally through branches in Iraq and Saudi Arabia and is planning investments in three African countries.