QNB gets time until Feb 20 to make offer for Egypt bank

REUTERS

CAIRO

EGYPT’S regulator said on Thursday it would extend until February 20 the deadline for Qatar National Bank to offer to buy out all the shares in National Societe Generale Bank.

The Egyptian Financial Services Authority (EFSA) said in a statement that the period would be extended from November 27.

NSGB is majority owned by France’s Societe Generale Bank.

NSGB’s shares slumped on Cairo’s bourse after the country’s regulator announced the QNB deadline, while Gulf markets were mixed in lacklustre trading.

NSGB fell 5.7 percent, taking November losses to 15.8 percent, after rallying for the last four months on stake purchase talks.

Societe Generale is nearing the sale of its majority stake in NSGB to QNB, sources familiar with the matter said earlier this month. If concluded, the Qatari bank would be obliged to offer t o buy out minority shareholders.

Along with minority shareholders’ stake in the lender, the deal value is about $2.6 billion.

Shares in QNB closed flat on Doha’s index, which was also little moved.

Cairo’s index dipped 0.8 percent to finish at 5,439 points, slipping back towards Tuesday’s 12-week low after a strong rally on Wednesday, as the momentum faded from a tentative loan deal with the International Monetary Fund.