Egypt’s EFG-Hermes Says in Talks on Alliance With Sarwa CapitalTamim Elyan
EFG-Hermes Holding S.A.E, the biggest publicly traded Arab investment bank, said it is in talks to form a strategic alliance with Sarwa Capital.
A partnership with the Cairo-based company, which operates in retail, corporate, structured and securitization finance, will help EFG-Hermes expand in financing and debt capital markets, the investment bank said today in a statement to the Cairo stock exchange.
EFG-Hermes’ investment bank returned to profit during the first quarter after seven quarters of losses, as the bank cut costs. The bank has said it expects to manage several IPOs in Egypt this year and plans to expand its Persian Gulf operations.
Sarwa Capital and its units have arranged financing worth 5.5 billion Egyptian pounds ($773 million) and managed 4 billion pounds of issues, making it the largest issuer of securitization bonds in Egypt, according to EFG-Hermes.
An agreement is expected to be reached this year, EFG-Hermes’ Investor Relations Head Hanzada Nessim said in a phone interview.