MILAN, Sept. 28 (Class Editori) - Bank of Alexandria, the third Egyptian lender after Credit Agricole and HSBC, has released that the shareholder of reference, the Italian group Intesa San Paolo, has reacquired the shares previously held by International Finance Corporation (IFC), an agency which belongs to the World Bank. The latter had signed a put & call agreement in March 2009 with Intesa, according to the financial statement documents of the group from Milan.
The share reacquired by Intesa accounts for 39 million securities, equal to 9.75% of the bank. The share is equal to about $162 million. Through this operation, as Arab News has written, the group chaired by the CEO Carlo Messina controls 80% of the Egyptian lender, its outpost in Asia, if we consider that Intesa owns no other equity shareholding in the continent.
The group from Milan had previously acquired a share of 80% of Bank of Alexandria in 2006, while the remaining share of 20% was held by the Egyptian Government, represented by the Ministry of Finance. Three years later, IFC acquired the share of 9.75% from Intesa. According to the financial statement of the Italian group concerning the first semester of this year, the book value of the shareholding in Bank of Alexandria is equal to €668 million.
In 2009, the two parties had then agreed upon conditions, according to which the company of the World Bank reserved the right to resell the shares to Intesa, a situation that has now happened. According to what has been written by the Bank of Alexandria, the institute closed the first quarter with assets equal to more than 103.8 billion Egyptian pounds ($6.58 billion) by reaching a net profit of 1.36 billion in local currency.
Therefore, the net result of the January-June 2020 period amounted at €72 million, decreasing by 4.9% compared to the first quarter of 2019 (-15% at constant exchange rates), whereas the EBITDA, equal to €102 million, increased by 1.2% compared to the first semester of the previous year (-9.5% at constant exchange rates).
The customers’ bank deposits have reached 86.5 billion pounds and the loans have reached an amount of 44.75 billion Egyptian pounds. Bank of Alexandria was established in 1975 and owns over 176 branches (four years ago they were 210) in all the main country governorates. It employs more than 4,500 people and assists 1.5 million customers. This morning, the Intesa Sanpaolo bond has increased by 2.14% up to €1.6128 per share, reaching a total capitalization of €31.45 billion on Piazza Affari. (All rights reserved)
(Source:Class Editori)
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