The Clap
As per Hala El-Said, Minister of Planning, the government established a new fund to prepare state-owned companies to be listed on the EGX.
The Deets
El-Said said this “pre-IPO” fund will own stakes in various public companies, which will attract more investments.
Pre-IPO Fund
The Pre-IPO fund collects money from investors to invest in companies in the final stage of being listed on the EGX. This gives investors shares in the company at a lower price than the IPO and also gives them the opportunity to sell these shares at a higher price.
The companies will also use the collected investments to develop their business before the IPO.
Background
Mohamed Maait, the Minister of Finance, said the committee overseeing IPOs would meet in the coming days to discuss the state-privatization program.
Pre-IPO fund good to go 💰
