Egypt's Citadel Capital completes $175.6 mln rights issue

Egyptian private equity firm Citadel Capital has completed a $175.6 million capital increase, adding $120 million in fresh capital to its balance sheet, the company said in a statement on Wednesday.

The rights issue, which was approved by shareholders and the Egyptian regulators in August, is the first of several steps the company is taking to add $200 million to its coffers, Chairman Ahmed Heikal said.

He said the extra capital will help the company weather an expected 12 to 18 months of turbulence ahead, and can be used for growth once the business climate improves.

Earlier this month, Citadel raised 438 million Egyptian pounds ($73.5 million) in a rights issue that was 41.72 percent subscribed.

Citadel's portfolio includes companies like Nile Valley Petroleum, an oil and gas exploration company in Sudan, and Taqa Arabia, a Middle Eastern energy distribution group.