Could Beltone’s IPO fiasco scare the market off?

Industry to the FRA: Make clear why Beltone was suspended over the Sarwa IPO or everyone could suffer: The Financial Regulatory Authority needs to make clear why it suspended Beltone Financial’s IPO unit or risk harming the market for capital raisings and for the state’s own privatization program, says Ahmed El Guindy, a veteran investment banker and co-founder of Tanmeya Capital Ventures. Al Mal quotes El Guindy as urging the community not to prejudge Beltone before learning the details of the FRA’s decision and warned that the lack of information surrounding the case may scare both investment banks looking to advise on future listings and companies that are looking to IPO.

Was Beltone informed of the alleged irregularities? The FRA has reportedly sent Beltone a letter detailing the alleged violations, but they were not disclosed publicly, according to the newspaper.