The Clap:
Investment management firm Act Financial — which in April secured regulatory approval to IPO — has set July 23rd as the targeted date for its debut on the EGX.
Remember:
The firm will price its shares at EGP 3.65, planning to raise EGP 1.3 billion by listing 30% of its shares.
Business model:
The firm’s strategy is to generate value by investing in Egyptian businesses, channeling their investments toward boosting their portfolio firms’ business operations, gaining market dominance, and sharpening corporate management. After reaching their targets, the company plans to offload their stake in its portfolio companies after an average two-year holding period.
Noteworthy investments for Act Financial:
A minority stake in Beltone Financial from 2015 to 2019.
A minority stake in CI Capital from 2019 to 2020.
A minority stake in “Heliopolis Housing” from 2020-2021.
Powered by their consortium, they acquired the largest single stake in SODIC from 2020 to 2021.
Financial performance:
The company recorded EGP 494 million in net profits in 2023, and is expected to add EGP 632 million and EGP 722 million to its bottom line in 2024 and 2025, respectively.
