(AFP File Photo / Mahmoud Khaled)
Orascom Development Holding, the major shareholder of Orascom Hotels and Development (OHD), announced that it would offer 10%-15% of its stocks in OHD through a private and a public placement in the Egyptian stock market.
“The first tranche of maximum 10% is open for the qualified investors through a private placement with a minimum ticket size of EGP 5m,” the company said.
“The second tranche (public offering) of a minimum 5% will be offered through the OPR [overnight policy rate] on the EGX screens at a price of EGP 15.2/share, which is at a discount of 50% from the midpoint of the independent financial adviser (IFA) value range of EGP 29.6-31.2/share,” the company added.
The company stated that its management is “optimistic with the company’s performance”, adding that it expects a stronger performance after the completion of the upcoming parliamentary elections.
In August, Orascom Development Holding announced that it registered a net profit of CHF 31.5m ($34.4m), which is deemed the first biannual net profit since 2010.
In the corresponding period in 2013, the company recorded CHF 48m ($52.4m) in net losses, blaming the political events and saying that they affected the group’s operations.
Orascom Development Holding is registered in Switzerland’s stock market, and has a 99.68% share of Orascom Hotels and Development.
