CAIRO: The partial privatization of national carrier EgyptAir will take the form of a capital increase to raise money for new planes, Civil Aviation Minister Ahmed Shafiq said on Tuesday. Shafiq told reporters that one preparatory study for the privatization was almost complete but a second study by an international bank would also be needed. He gave no date for the offer, which will be equivalent to about 20 percent of the company. The offer will be in the form of shares to increase the capital of the company to buy new planes, he said. The state, which now owns the whole company, intends to retain 80 percent for 12 years, he added. In March, the chairman of EgyptAir said it would take six months to complete the preparatory study for the privatization. EgyptAir made a profit of LE 431 million ($75 million) in the year ending June 30, 2005, the chairman added. Reuters
EgyptAir to privatize by raising capital-minister
