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Sovereign Fund of Egypt Invests in Arab Investment Bank

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.

Egypt s sovereign wealth fund to acquire 25% stake in Arab Investment Bank

Egypt’s sovereign wealth fund to acquire 25% stake in Arab Investment Bank Getty Images Sovereign Fund of Egypt, Cairo, agreed to acquire a 25% stake in Arab Investment Bank. The $12.7 billion sovereign wealth fund executed an agreement alongside EFG Hermes Holding, which will become the largest AIB shareholder with a stake of 51%, a Hermes news release said Thursday. Sovereign Fund of Egypt will subscribe to 207 million newly issued shares of the bank at a share price of 6.03 Egyptian pounds (38 cents), for a total value of 1.25 billion Egyptian pounds, the news release said. Current majority shareholder National Investment Bank will have a 24% stake following purchases from other minority shareholders, according to the news release.

Egypt s EFG Hermes to acquire majority stake in Arab Investment Bank

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