🔵 Listing the shares of "Enppi", "ELAB", and "PMS" Represents the Beginning of Implementing the Petroleum Sector Companies' Offering Program within the Government IPO program
🔵 Eng. Karim Badawi: The Offering Reflects the Strength of Sector's Companies and the Solidity of Their Financial Positions, Establishing a New Phase of Governance and Attracting Investments.
Eng. Karim Badawi, Minister of Petroleum and Mineral Resources, announced that the listing of three additional petroleum sector companies on the Egyptian Exchange marks the official launch of the first phase of the sector's listing program. This initiative forms part of the government listing program, which aims to maximize the value of state-owned assets, broaden ownership, and increase private sector participation in the Egyptian economy.
The announcement was made during his speech at the opening session of the Egyptian Exchange, marking the preliminary listing of the shares of three petroleum sector companies on the Egyptian Exchange. These are the Engineering for the Petroleum and Process Industries (Enppi) with an issued capital of $357 million, the Egyptian Linear Alkyl Benzene Company (ELAB) with an issued capital of $210 million, and Petroleum Marine Services (PMS) with an issued capital of $120 million.
The Minister emphasized that the selection of Enppi, PMS, and ELAB followed a meticulous study, as they are successful models possessing an outstanding record of operational and financial performance, reflecting the efficiency and competitiveness achieved by the petroleum sector. He added that these companies enjoy strong financial positions and promising growth opportunities, qualifying them to attract investors and achieve sustainable added value.
He pointed out that Enppi is considered one of the largest engineering and energy houses of expertise in the region, boasting a proven track record in executing projects in Egypt and abroad. Meanwhile, PMS represents the main arm for executing marine infrastructure projects and oil and gas field services, whereas ELAB is one of the leading companies in the Egyptian petrochemical industry, given the added value and high economic returns it generates.
The Minister added that the Ministry is proceeding in parallel to complete the necessary procedures to list and offer another group of petroleum sector companies during the upcoming period, to enhance the efficiency of asset utilization, broaden the investor base, raise the competitiveness of the companies, and support the attraction of local and foreign investments, within the framework of Egypt's vision to empower the private sector's role and achieve sustainable economic growth.
He affirmed that listing on the stock exchange represents the beginning of a new phase in the development journey of petroleum sector companies, based on applying the highest standards of governance, transparency, and disclosure. This contributes to raising performance efficiency, bolstering investor confidence, and increasing the ability to compete regionally and internationally.
The Minister also emphasized that joining the stock exchange provides companies with more diverse and flexible financing tools that support the implementation of their expansion plans and future projects. It also consolidates mechanisms for continuous performance evaluation, raises management efficiency, and opens broader horizons for establishing strategic partnerships and attracting new investments.
It is noteworthy that the preliminary listing is a strategic step that precedes the offering of percentages of the companies' shares for trading on the Egyptian Exchange. This follows the completion of the financial valuation processes conducted by a certified independent financial advisor to determine the fair value of each company, reflecting the reality of their financial positions and business results, and ensuring the achievement of the highest possible value for both the state and investors.
Eng. Karim Badawi During the Announcement of Petroleum Sector IPO Program - 2
Eng. Karim Badawi During the Announcement of Petroleum Sector IPO Program - 3
