Bonyan could make its EGX debut before the end of the month

Bonyan could hit the EGX this month: Real estate investment firm Bonyan expects trading on its shares to begin before the end of this month, Chairman Shamel Aboul Fadl said during a presser attended by EnterpriseAM yesterday. The first day of IPO subscription saw “very strong demand that exceeded expectations,” Aboul Fadl said, though he declined to disclose exact figures. The offering is already oversubscribed, our sources told us.

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REMEMBER- Bonyan is looking to raise EGP 1.8 bn by taking a 20-21.9% stake public. The retail and institutional tranches launched on Sunday with an indicative price range set at EGP 4.96-5.44 per share, while the independent financial advisor valued the stock at a fair value of EGP 7.52 a pop.

What does Bonyan do? The company focuses on acquiring high-quality, income-generating commercial properties rather than developing or selling units. “This IPO isn’t just about raising funds, but about redefining real estate investment in Egypt, similar to global REIT models,” Aboul Fadl said.

Investors will be getting quite the deal: The IPO values Bonyan at EGP 8.2-9 bn, up to 34% below analysts’ average valuation of up to EGP 13.4 bn, according to Chief Financial Officer Fady Raafat. Aboul Fadl said this aims to attract long-term investors seeking stable, regularly distributed returns rather than speculators.

Growth plans in the pipeline: Bonyan owns 10 properties — with a 93% occupancy rate — valued at EGP 16.7 bn as of the end of 2024. The company is currently evaluating seven new assets to expand its portfolio in East and West Cairo, targeting fully leased grade A properties, Aboul Fadl said.

ADVISORS- CI Capital and Arqaam Capital are coordinators and bookrunners, with Mubasher acting as placement agent. Matouk Bassiouny & Hennawy is legal counsel, Baker Tilly is independent financial advisor, and PwC is auditor.

WANT THE DETAILS? We break down everything you need to know about the IPO in our coverage of the IPO prospectus earlier this week. Check it out here.