Cairo – Mubasher: The board of Sarwa Capital Holding for Financial Investments has agreed to begin the procedures of raising the company’s issued capital by nearly EGP 700 million.

The capital will be raised by the issuance of 95.10 million shares, upon which subscription will be limited to Consolidated Financial Holdings (CFH) as a selling shareholder at EGP 7.36 per share, the final price of the initial public offering (IPO), the company said in a filing to the Egyptian Exchange (EGX) on Thursday.

The company seeks to boost issued capital to EGP 115.2 million as the price differential between the share’s nominal value of EGP 0.16 and the subscription price of EGP 7.36 will be transferred to private reserves worth nearly EGP 684.7 million, according to the statement.

The company noted that the increase represents 32.22% of the IPO’s total proceeds.

Trading on Sarwa Capital’s stocks on the EGX started on Monday, 15 October.

The Egyptian Exchange (EGX) previously said Sarwa Capital’s initial public offering (IPO) was oversubscribed 30.1 times.

Total purchasing orders on the private offering reached 887.4 million shares, the Egyptian bourse highlighted in a statement.

Sarwa Capital previously said that the private offering was oversubscribed 10.83 times, with 265.65 million shares offered at a value of EGP 1.96 billion.

The final price of the IPO was set at EGP 7.36 per share, while trading on the stock will be under the symbol of SRWA.CA following obtaining the approval of the EGX.