International banks bid for an Egyptian $1 billion securities deal

In statements to al-Ahram Daily, Manager of the Bank of New York, London said that Egypt will issue seven international certificates of deposit (CDs) covering the sectors of communication, construction and tourism.

He added that most of these securities are already listed on the Egyptian Stock Exchange at a value of $1 billion.

He said that investment banks set out to prepare for the banking operations, adding that the Bank of New York, J. P. Morgan, Bankers Trust, Deutsche Bank and Citibank are bidding, as depository banks, for placing and floating the proposed securities on the international market.

He expounded that that the Bank of New York will undertake the the issue, during the first quarter of 2000, international certificates of deposit, with EFG-Hermes and C. I. I. C. Flemings participating as investment banks. He added that the Bank of New York was awarded a deal to underwrite Egyptian 5-year Euro bonds , that have been warmly welcomed on the market.

According to the Manager of the Bank of New York, the bank is to bid for a partial share floating for the first electricity company to be privatized.

He stressed that the Egyptian Stock Exchange has the potential for attracting foreign investments, with more than a quarter of dealings made by foreign investors.

He added that the Egyptian capital market is now classified as a really free one that is steadily progressing towards transparency.

It is worth mentioning that the Bank of New York is one of the biggest and oldest American banks, with an annual turnover of to $35 billion and 400 branches in USA and worldwide.