Banque Misr continues its expansion in the Non-Banking Financial Services sector through the acquisition of a 90% stake in CI Capital Holding.
Banque Misr, Egypt’s second largest bank, has successfully completed the acquisition of an additional 65.3% stake in CI Capital Holding for Financial Investments (“CI Capital Holding”; Ticker: CICH.CA) through a mandatory tender offer, bringing its overall ownership in the company to 90%.
CI Capital Holding is a leading diversified financial services group that offers a suite of non-bank financial solutions catered to a wide spectrum of clients, including: investment banking, securities brokerage, research, asset management, custody, leasing, and microfinance.
Mohamed El Etreby, Chairman of the board of directors of Banque Misr, commented, “We are delighted to have completed this transaction as it represents a key milestone in our strategy to promote and realize full financial inclusion by developing a solid well-diversified non-banking financial services platform, that will enable us to better reach our customers and serve their diverse financing needs. We have great confidence in the team at CI Capital Holding and will provide them with the needed support to sustain growth and deliver significant value to all of our stakeholders.”
The Vice Chairman of the board of directors of Banque Misr, Akef El Maghraby, added, “We believe the set of complementary assets in our portfolio and clear cross-selling opportunities that will materialize through this transaction should allow us to deliver significant synergies to all stakeholders. This transaction increases our exposure to attractive segments of the non-banking financial services space and we are confident that we can further elevate the company by benefiting from our financial capabilities, distribution network, and product expertise.”
Mahmoud Attalla, Executive Chairman & Managing Director of CI Capital Holding, commented, “on behalf of the executive management team of CI Capital Holding and myself we look forward to collaborating with Banque Misr in continuing and accelerating CI Capital’s growth and reach. I would also like to take this opportunity to thank our existing shareholders who have given tremendous support to the company thus far, and we look forward to the next phase of growth. Banque Misr’s acquisition of a controlling stake in CI Capital Holding marks an important milestone in CI Capital Holding’s journey with a solid outlook, given the backing of Banque Misr.
Zulficar & Partners provided legal and regulatory advice to Banque Misr in relation to the transaction .Pharos Securities Brokerage, Beltone Securities, and Arqaam Securities were the buy-side execution brokers.