Nov. 6 (Bloomberg) -- Amer Group Holding, an Egyptian developer of luxury resorts, said it plans to raise about 1.14 billion Egyptian pounds ($200 million) in a share sale, the second initial public offering in the country this year.
“We’re starting to see market conditions improve globally,” said Aladdin Saba, chief executive officer of Cairo-based Beltone Financial, which is arranging the sale. “We’re seeing increased investor interest in Egypt, so we think this is an appropriate time for the offering.”
The company said it plans to sell 80 percent of the offering in a private placement closing Nov. 21 at a range of 2.60 pounds to 3.60 pounds a share. The rest will be sold publicly at the same price, Saba said. The number of shares sold will depend on the price investors are willing to pay, and the offering has yet to be approved by the Egyptian exchange.
Amer’s share sale will follow Juhayna Food Industries, the country’s biggest producer of packaged milk, which went public in June. The global financial crisis halted new offerings in the North African country in 2008 and 2009 as investors retreated from emerging markets.
Amer Group announced last month the creation of a joint venture with the Arabtec Holding Co., the biggest publicly traded builder in the United Arab Emirates, and awarded it a $53 million residential project in Egypt. In addition to its flagship Porto resorts on the Egyptian Mediterranean and Red seas, Amer plans to expand to other countries in the Middle East, including an announced $1 billion resort in Syria, Mansour said on Oct. 17.
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