The private placement of Azimut Egypt Asset Management’s fixed income fund has been oversubscribed after nine working days with EGP 295.3m.
The amount represents almost six times the preliminary targeted subscription, leading the company to increase the maximum fund’s limit to EGP 500m before the end of the subscription period.
Banque du Caire and Ahli United Bank acted as the receiving banks for the private placement of the fund. The company has also benefited from new legislative amendments that allow for parties other than banks and insurance companies to receive subscriptions for, and the purchase and redemption of funds. The brokerage and investment firms Mubasher, Naeem, Global Invest, and Misr Capital acted as receiving entities and marketed the fund to their clients.
The fund is the first to contract with multiple entities to receive subscriptions, some of which occurred electronically. Over 100 investors subscribed to the fund, representing a mixture of institutions and High-Net-Worth individuals.
The fund is now open to receive daily subscriptions and weekly redemptions through the same entities.
Ahmed Abu Al-Saad, Managing Director of Azimut Egypt, said that the exceptional success is an indicator of the Egyptian market’s positive interaction with the company’s strategy to launch new and diversified investment solutions. These have been designed to suit the different investment objectives for varying categories of the Egyptian market.
He added that the Egyptian financial market is hungry for new investment channels, which supports the company in its endeavour to expand in launching new products in the coming period. The company hopes to achieve a transformation through the new products, as well as raise awareness in the investment and financial markets sector.
It also aims to encourage individuals and companies to professionally invest their money, in light of the expectation of lower interest rates.
Giorgio Medda, Group Co-CEO at Azimut Group, said that this remarkable success for Azimut Group’s first fund in Egypt is considered the fastest coverage in the Group’s history worldwide.
He also said that it indicates strong investor confidence, and reiterates Azimut Group’s vision that Egypt is one of the most important strategic markets to the Group in the coming period.
The Group believes in the exceptional investment opportunities available in the Egyptian market, which is regarded as one of the most promising emerging markets in the world.
Azimut Group is keen to invest in the development of the Egyptian asset management industry, capitalising on its experience built across its global footprint of 18 countries.
