In an interview that aired on Bloomberg Television, Egypt’s Minister of Planning and Economic Development Hala El-Said disclosed that the country will be establishing a new “pre-IPO” fund to provide financial assistance to businesses as they work toward being publicly traded.
El-Said mentioned that the pre-IPO fund was established on Monday, and he said that its primary objective is to increase investment by purchasing public stakes in a variety of public institutions. Additionally, the fund will collaborate with strategic investors, such as sovereign wealth funds, in advance of public offerings.
El-Said, who is also Chair of Egypt’s Sovereign Wealth Fund, said that the government is now advocating a flexible exchange rate as part of its efforts to increase Egypt’s foreign exchange receipts by increasing exports, FDI, and remittances from abroad.
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El-Said mentioned privatisation and a private sector-driven economy as priorities for Egypt during her interview.
Egypt had indicated that it was ready to resume its initial public offering programme, with the goal of listing roughly 10 government and military-owned enterprises on the Egyptian Exchange by year’s end. This plan was delayed owing to the conflict between Russia and Ukraine.
Early in the month of August, the Public Investment Fund of Saudi Arabia (PIF) established the Saudi Egyptian Investment Company (SEIC), whose primary mission would be to make investments in a variety of Egypt’s economic fields. Almost immediately after its inception, the SEIC bought minority holdings in four Egyptian firms with a combined value of over $1.3 billion.
Pre-IPO Fund Egypt Pre-IPO Fund Egypt
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
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