Sovereign Fund of Egypt Invests in Arab Investment Bank
Posted on 05/20/2021
EFG Hermes Holding S.A.E. is set to acquire a 51% stake of state-owned Arab Investment Bank (AIB). The Sovereign Fund of Egypt (TSFE) will also acquire a 25% stake in AIB, while the current owner, state-owned National Investment Bank (NIB), will retain 24%, the Egyptian cabinet disclosed after approving the acquisition.
AIB’s capital will be increased to five billion Egyptian pounds (roughly US$ 319 million). AIB was established in 1974 as a commercial and investment bank under the supervision of the Central Bank of Egypt. AIB started operation in 1978 with a capital of 627 million Egyptian pounds, which was increased to 1.8 billion Egyptian pounds, with participation of 91.4% from National Investment Bank and 8.5% from the Federal Arab Republics.