Egypt plans to list at least 10 companies on the stock market in 2025, Prime Minister Mostafa Madbouly announced at a press conference on Wednesday. Of these, four companies are affiliated with the military. The government intends to offer both direct investment opportunities and stock market listings as part of a broader privatization initiative. Following the recent IPO of United Bank, Alexbank and Banque du Caire are also expected to follow suit in the near future, according to the Prime Minister. Madbouly highlighted that the military-affiliated companies—"Watanya," "Safi," "ChillOut Egypt," and "Silo"—are among those earmarked for stock market launches by mid-2025. Additionally, the government plans to offer stakes in the Gabal Al-Zeit wind power station, Alamal Alsharif Plastics, Egyptian Group for Pharmaceutical Industries (EGPI), and Chemical Industries Development (CID) as part of its ongoing privatization programme. The announcement comes just one day after the shares of the United Bank, owned by the Central Bank of Egypt, began trading on the Egyptian Exchange. The IPO of 30% of United Bank's shares raised EGP 4.6bn (approximately $92.14m). The public portion of the offering was oversubscribed by nearly 59 times, while the institutional tranche was oversubscribed by about six times, reflecting strong investor demand. Madbouly emphasized that Watanya and Safi are top priorities, stating: "We aim to finalize their offerings in the first half of 2025." Watanya, established in 1993, operates around 255 service and fuel stations, with 20 more under construction and another 25 in the planning stage. The company is wholly owned by the Armed Forces' National Service Projects Organization, which also holds a 20% stake in TAQA Arabia. Notably, TAQA Arabia is seen as a potential bidder for Watanya. These planned stock market listings are part of a broader initiative by the Egyptian government to divest stakes in state-owned enterprises. Egypt's Privatization Programme This initiative is in line with the International Monetary Fund's (IMF) recommendations to reduce the state's involvement in the economy, which has faced significant challenges over the past two years. The programme is a key component of Egypt's comprehensive agreement with the IMF, part of a $57bn international bailout package launched last year. In the first quarter of 2023, the Egyptian government launched a programme to offer stakes in up to 40 companies and banks across 18 sectors. Originally set for completion by March 2024, the timeline has since been extended to December 2024. According to statements from Egypt's former Minister of Finance, the country aims to generate $6.5bn from this programme by the end of this year. Earlier this month, the government also outlined the targeted sectors for this fiscal year's offerings, including banking, airports, medical supplies, plastics, glass, and petrochemicals.
