By: Ahmed Allam
Cairo – Mubasher: The purpose of Egysacom’s initial public offering (IPO) launched on the Egyptian Stock Exchange (EGX) on Wednesday for small-and-medium enterprises (SMEs) is to finance the company’s expansions in the field of installing cell phone stations for service operators, said Sharif Salah El Deen, chairman and managing director of Egypt-South Africa for Communication (Egysacom).
He added that this comes according to a five-year plan set up by the company.
The EGX’s board decided to open a five-day private transactions market starting 9 September till 15 September for purchase orders of Egysacom’s stocks.
The company joined the EGX’s ranks in December and is targeting brining its issued and paid-up capital to EGP 150 million, according to its five-year strategy, the chairman revealed, adding that he expects the company to move to the main bourse in the coming three years.
The EGX flotation represents around 20% or 31 million shares of Egysacom’s capital at par value of EGP 0.20 per share and a fair value of EGP 0.95 per share.
Egysacom previously reported renewing its contract with Vodafone Egypt to install and maintain networks for the full-year 2015-2016, while it renewed its agreement with Sony-Ericsson to install and maintain mobile networks for Etisalat Misr with an estimated EGP 7.4 million in operations.
In June, the network-installation firm renewed its contract with mobile operator Mobinil for the year 2015-2016 at a cost of EGP 6.5 million.
Egysacom’s profits dropped 57% to EGP 431,300 in H1-15, compared to figures from the same period in 2014.
Translated by: Nada Adel Sobhi
