Etisalat's Egyptian unit said to be in talks for IPO
Etisalat Misr reportedly in talks with banks to arrange first major initial public offering in Egypt for years
Etisalat Misr, the Egyptian unit of UAE-based telco Etisalat, is reportedly in talks with investment banks about organising an initial public offering (IPO).
Etisalat Misr, 66% owned by the Abu Dhabi firm, has asked banks to make proposals to manage the share sale, Bloomberg reported on Sunday, citing unnamed sources who said the IPO is planned for Cairo and may raise about $500 million.
A spokesman for Etisalat Misr didn't return emails and telephone calls requesting comment, Bloomberg added.
At $500 million, the sale would be Egypt's biggest since Citadel Capital raised $605 million in 2009, according to Bloomberg.
Egypt's financial regulator changed its rules earlier this year to boost trading and attract investment on the country's bourse, making it easier for companies wishing to list on the stock exchange.
Since the last major IPO on the Egyptian exchange, Egypt's capital markets have been hit by the political turmoil that has gripped the country since the uprising that swept autocratic leader Hosni Mubarak from power in early 2011.
Etisalat Misr reported revenue of AED1.2 billion ($327 million) in the second quarter, an increase of 5% over the same period last year.
Etisalat has operations in 19 countries across the Middle East, Africa and Asia.