{"id":559361,"date":"2021-01-19T03:43:52","date_gmt":"2021-01-19T03:43:52","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2021\/01\/19\/giza-spinning-postpones-ipo-shut-up-about-egyptian-iron-and-steel-already\/"},"modified":"2021-01-19T03:43:52","modified_gmt":"2021-01-19T03:43:52","slug":"giza-spinning-postpones-ipo-shut-up-about-egyptian-iron-and-steel-already","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2021\/01\/19\/giza-spinning-postpones-ipo-shut-up-about-egyptian-iron-and-steel-already\/","title":{"rendered":"Giza Spinning postpones IPO + shut up about Egyptian Iron and Steel, already"},"content":{"rendered":"<p><a id=\"tldr-story-03\" class=\"content-anchor\"><\/a> <strong>Giza Spinning is shelving its planned IPO until at least 1Q2022<\/strong> due to covid-19, but will reassess the timeline again based on market conditions, Managing Director Fadel Marzouk told <a href=\"http:\/\/bit.ly\/39IbzFZ\">Al Mal<\/a>. Even if vaccine rollouts begin soon, the company has opted out of listing during the summer of 2021 as the season is \u201cnot a good time for an IPO,\u201d he said. Marzouk did not confirm the anticipated size or value of the stake sale, but the company had previously said it is looking to put up to 40% of its shares on the EGX. The proceeds from the IPO will be used to finance an EGP 250 mn project to expand its yarn and garment production capacities.<\/p>\n<p><strong>Fifth time's the charm? <\/strong>Giza Spinning has repeatedly delayed the IPO, with the recent announcement marking the third time the privately-owned company has postponed. The listing was first meant to take place in <a href=\"https:\/\/enterprise.press\/stories\/2018\/10\/18\/giza-spinning-to-kick-off-ipo-roadshow-soon-ahead-of-december-offering\/\">December 2018<\/a> but pushed the transaction <a href=\"https:\/\/enterprise.press\/stories\/2019\/03\/31\/giza-spinning-weaving-pushes-ipo-to-3q2019\/\">to 3Q2019<\/a> to wait for better market conditions. The garment exporter delayed the IPO for a second time to <a href=\"https:\/\/enterprise.press\/stories\/2019\/08\/05\/giza-spinning-weaving-delays-ipo-for-second-time-to-feb-2020\/\">Feb 2020<\/a>, still citing poor market conditions. When that never happened, the company announced in August 2020 that it was looking to IPO <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/73e68855-c8b6-40b1-a34f-a562b93f8ea0\">before the year\u2019s end<\/a>.<\/p>\n<p><strong>Advisors:<\/strong> Beltone Financial is serving as global coordinator and bookrunner and Matouk Bassiouny is legal counsel to the issuer.<\/p>\n<p style=\"font-size: 18px; font-weight: bold;\">Egyptian Iron pushes ahead with liquidation + demerger<\/p>\n<p><strong>The liquidation of Egyptian Iron & Steel is final:<\/strong> That was the message given by Public Enterprises Minister Hisham Tawfik yesterday as the House Manpower Committee <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/f0198280-8660-4624-a350-a39d1a2162b1\">began scrutinizing<\/a> the ministry\u2019s plans to shutter the loss-making company and spin off its mining operations. In an interview with <a href=\"https:\/\/bit.ly\/3oVyyUd\">Masrawy<\/a>, the minister said that the company general assembly\u2019s decision last week was final and can only be overturned by the State Council.<\/p>\n<p><strong>The minister is taking heat for the decision:<\/strong> MP Mostafa Bakry has <a href=\"https:\/\/bit.ly\/2M5ELhP\">come out forcefully<\/a> against the liquidation, calling it reckless and dangerous to the Egyptian economy. Tawfik has defended the decision, saying that it was taken after the ministry attempted to save the company and promising that workers will be compensated in the next three months.<\/p>\n<p><strong>As for its mining spin-off<\/strong>, the ministry is working on building a scaled down mining unit in the Bahariya Oasis as a trial run and will wait to see the concentrations of the raw materials extracted before committing to building the full mine, the minister said.<\/p>\n<p><strong>Background:<\/strong> The company <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/9bad9da9-4715-4ca2-af68-dc753167b285\">had said last week<\/a> that its operations would be liquidated in a process that would take up to two years as part of a <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/71938aa0-e362-4429-9e61-30a853a317ad\">government strategy to streamline<\/a> the public sector. It plans to <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/839a6b22-6c3d-453a-93c1-77111ac82759\">spin off its mining operations<\/a> to create a new company, Iron and Steel for Mines and Quarries, that will be listed on the EGX in the coming weeks.<\/p>\n<p><strong>** WITH THAT, CAN WE PLEASE SHUT UP about Egyptian Iron and Steel? <\/strong>We\u2019re with Naguib Sawiris <a href=\"https:\/\/twitter.com\/naguibsawiris\/status\/1350733137471549441?s=12\">on this one<\/a>: What the government is liquidating is a welfare program for a few thousand workers that costs taxpayers bns of EGP every year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Giza Spinning is shelving its planned IPO until at least 1Q2022 due to covid-19, but will reassess the timeline again based on market conditions, Managing Director Fadel Marzouk told Al Mal. Even if vaccine rollouts begin soon, the company has opted out of listing during the summer of 2021 as the season is \u201cnot a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7224],"tags":[107,68,72,78],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-559361","post","type-post","status-publish","format-standard","hentry","category-ipo-watch","tag-covid-19","tag-egx","tag-enterpriseam","tag-ipo-watch","wpautop","entry"],"acf":{"mongo_id":"9c435cb8-7152-45f3-87fb-8bf3e9835d2a","is_powered_by":true,"story_type":"1","photo_url":"","photo_position":"above","related_issue":[559353],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Giza Spinning postpones IPO + shut up about Egyptian Iron and Steel, already - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2021\/01\/19\/giza-spinning-postpones-ipo-shut-up-about-egyptian-iron-and-steel-already\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Giza Spinning postpones IPO + shut up about Egyptian Iron and Steel, already\" \/>\n<meta property=\"og:description\" content=\"Giza Spinning is shelving its planned IPO until at least 1Q2022 due to covid-19, but will reassess the timeline again based on market conditions, Managing Director Fadel Marzouk told Al Mal. 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This is the\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":574031,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/08\/27\/banque-du-caires-ipo-postponed-to-2021-chairman-confirms\/","url_meta":{"origin":559361,"position":3},"title":"Banque du Caire\u2019s IPO postponed to 2021, chairman confirms","author":"enterpriseam admin","date":"27 August 2020","format":false,"excerpt":"IPO WATCH- BdC IPO isn\u2019t happening before 2021, Fayed confirms, while Giza Spinning looks at 2020 listing: State-owned Banque du Caire\u2019s (BdC) won\u2019t make its EGX debut this year, Chairman Tarek Fayed confirmed in an interview with Reuters Arabic on Wednesday. The bank had planned to float 20-30% of its\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/8\/217.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":621271,"url":"https:\/\/enterpriseam.com\/egypt\/2018\/11\/05\/egypts-fra-says-suspended-beltones-investment-banking-arm-due-to-irregularities-in-sarwa-ipo\/","url_meta":{"origin":559361,"position":4},"title":"Egypt\u2019s FRA says suspended Beltone\u2019s investment banking arm due to irregularities in Sarwa IPO","author":"enterpriseam admin","date":"5 November 2018","format":false,"excerpt":"** #1 FRA says Beltone suspension was due to \u201cirregularities\u201d in Sarwa IPO: The Financial Regulatory Authority (FRA) suspended Beltone Financial\u2019s investment banking unit for six months after an investigation allegedly found the initial public offering of structured and consumer finance player Sarwa Capital last month was \u201cmarred by some\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":623010,"url":"https:\/\/enterpriseam.com\/egypt\/2018\/10\/18\/giza-spinning-to-kick-off-ipo-roadshow-soon-ahead-of-december-offering\/","url_meta":{"origin":559361,"position":5},"title":"Giza Spinning to kick off IPO roadshow \u201csoon\u201d ahead of December offering","author":"enterpriseam admin","date":"18 October 2018","format":false,"excerpt":"IPO WATCH- Giza Spinning to kick off IPO roadshow \u201csoon\u201d ahead of December offering: Privately-owned Giza Spinning and Weaving is finalizing the plans for an international roadshow for its IPO, which is slated for December, sources with knowledge of the matter tell Al Mal. The roadshow will take the company\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/559361","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=559361"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/559361\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/559353"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=559361"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=559361"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=559361"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=559361"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=559361"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}