Saudi sovereign wealth fund planning to acquire Egyptian bank for $600M
- ByStartupStory | December 19, 2022
Saudi Arabia’s Public Investment Fund (PIF) is planning to buy Egypt’s state-owned United Bank for about $600 million. The sovereign we Saudi Arabia is ready to provide financial support to countries in the region for building new relations and partnerships with them. They are also planning to open $10 billion of investments in sectors such as health care, education, and agriculture.
EFG-Hermes will be the financial advisor of PIF and is conducting advanced negotiations to complete the deal by the first quarter of 2023.
“The kingdom has started investing aggressively in Egypt” and will continue “to look at investment opportunities and that is more important than deposits. Deposits can be pulled but investments stay,”said Saudi Finance Minister Mohammed Al Jadaan.
The country has devalued its currency twice in 2022 and reached a staff-level agreement on a $3bn loan from the IMF that’s due to be approved later this month. The United Bank, which was founded in 2006, has 65 branches nationwide and more than 200 ATMs.The Egyptian bank was founded on June 25, 1898, it is the first and largest commercial bank in the Egyptian banking sector with a paid-up capital of EGP 50 bn.
Follow Startup Story
Related Posts
