Per the Daily News, Bank of Alexandria, a unit of Italy’s Intesa Sanpaolo SpA, is negotiating with the Egyptian government to sell either 15% or its full 20% ownership stake in an initial public offering (IPO).  Egypt is said to be looking to divest itself of state-owned banks in order to strengthen its historically troubled industry.  Intesa, which is Italy’s second-biggest bank, paid $1.6bn (6x its market value) back in 2006 for an 80% stake the country’s forth largest state-owned bank in what was heralded as Egypt’s biggest auction of state assets.  The float was to immediately follow, says CI Capital Holding, an investment bank, but was delayed due presumably to unsuitable market conditions.  “In our view,” the firm continued, “although it is not clear how long it would take for the IPO to be executed, [it] would stimulate activity in banking stocks as well as the overall stock market.  It also reflects that senior bankers are picking up positive vibes in the market.”

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