Cairo-listed Beltone Finance eyes stake in local microfinance firm

Upon receiving the necessary regulatory approvals, Beltone will conduct a thorough due diligence process.

Beltone or one of its subsidiaries may undertake the acquisition, although it has not revealed the name of the company it intends to purchase.

Beltone operates 13 subsidiaries that specialize in diverse areas of finance and investment.

Emirati investment fund Chimp 1 Investment SPV RSC LTD, a subsidiary of US-based Chimera Investment Company, owns 55.9 percent of the company, while Egyptian tycoon Ahmed Abu Hashima holds a 9.9 percent stake.

"The potential acquisition process is linked to the due diligence as well as the regulatory approvals to start the assessment or acquisition, hence all market participants dealing on the company's shares must consider that said potential acquisition process may or may not occur," Beltone said.

As of 19 July 2023, Beltone's issued and paid-in capital increased by 1,080 percent to EGP 10.9 billion due to the full subscription of shareholders to the company's five billion new shares.

During H2 of 2022, mergers and acquisitions in Egypt reached a total value of $4.2 billion, as reported by global law firm Baker McKenzie.