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Head of Egypt's new capital sees IPO in first half of 2024

Egypt plans to float 5 to 10% of the shares of the company building its new capital east of Cairo in the first half of 2024, according to the company's chairman.
20.09.23 | Source: Reuters

The head of Egypt's new capital announced plans to float 5 to 10 percent of the shares of the company responsible for building the new urban area, set 45km east of Cairo. This move is expected to be carried out in the first or second quarter of 2024, which is a delay compared to an initial target of 2023. The company, named the Administrative Capital for Urban Development (ACUD), is currently owned 51% by the Egyptian military and 49% by the government's New Urban Communities Authority. Khaled Abbas, the chairman of the ACUD, communicated these intentions in a recent television interview. Detailed financial requirements and statements are being prepared in order to qualify for listing on the stock exchange, and it is noted that one of the largest accountants is reviewing the company's budget. The first phase of the new capital, which began construction in 2015, spans approximately 168 square kilometers and will house governmental ministries, residential areas, a diplomatic quarter and a financial district. Despite various delays in construction, Abbas suggests that the project is moving forward with the government already operating from the new location, and the parliament expected to relocate by October.