The Egyptian Ministry of Petroleum and Mineral Resources presented eight oil and petrochemical companies to the Ministry of Investment and ICapital National Investment Bank to study the launch of an initial public offering (IPO) through the Egyptian Stock Exchange (EGX) and other global markets, reported Daily News Egypt.The Minister of Petroleum, Tarek El Molla, added that during November the government will finalize its evaluation of the eight firms and their offerings, and accordingly determine the timing of IPO, reported Al Borsa.
The first phase of the IPO will include five firms. The Middle East Oil Refinery company (MEDOR) and Egyptian Ethylene and Derivatives Company (ETHYDCO), to be initially offered in the stock market. ICapital will start evaluating these two companies in preparation for an IPO of 20%. The three other companies are Sidi Kerir Petrochemicals company (Sidpec), Alexandria Mineral Oils Company (AMOC), and Misr Fertilizers Production Company (MOPCO), for which the ministry intends to expand its ownership base by increasing the offered share by 20%.
Furthermore, Egypt Oil&Gas reported late September that the ministry had held a meeting with officials from the Engineering for the Petroleum & Process Industries (Enppi) to discuss its readiness for an initial public offering (IPO) in phase II of the government’s initiative to privatize some state-owned petroleum firms.