Regulatory Alerts2012-01-01
Decision No. 85 of 2012 of the Board of Directors of the Egyptian Financial Supervisory Authority dated 26 December 2012
The Egyptian Financial Supervisory Authority (EFSA) Board of Directors issued Decision No. 85 of 2012 to amend the Egyptian Exchange's listing rules by introducing Article 9 bis, which establishes mandatory financial and structural criteria for new share listings. The decision mandates a minimum 10% public offering, at least 5% freely tradable shares, a minimum of 500 shareholders, 5 million listed shares, fully paid-up capital of 50 million EGP, and a minimum 5% pre-tax net profit ratio, while allowing conditional listing for companies that do not initially meet certain financial thresholds. It further requires principal shareholders to retain at least 25% of issued capital for two years, grants a six-month compliance window for unmet offering conditions, and outlines delisting procedures for continued non-compliance with core listing requirements.