Egypt’s Financial Regulatory Authority (FRA) has given the green light for the establishment of the country’s first Special Purpose Acquisition Company (SPAC), named Catalyst Partners Middle East (CPME), with an initial capital of 10 million Egyptian pounds. This initiative aligns with recent regulatory updates aimed at enhancing the non-banking financial sector in Egypt.
CPME plans to list its shares on the Egyptian Exchange (EGX) within one month and aims to raise its capital to 100 million Egyptian pounds within three months through a private subscription targeted at qualified investors and financial institutions. The company is also required to complete its acquisitions within two years from its listing date.
According to the new regulations, qualified investors are defined as individuals with at least ten years of experience in financial management or direct investment, possessing liquid assets or financial instruments valued at a minimum of 5 million Egyptian pounds. Additionally, foreign companies with equity no less than 50 million Egyptian pounds are included in this category.
