Freshfields has advised The Abraaj Group and Cleopatra Hospital Company on the IPO of Cleopatra Hospital Company on the Egyptian Stock Exchange

Freshfields Bruckhaus Deringer LLP (‘Freshfields’) has advised The Abraaj Group and Cleopatra Hospital Company on the IPO of Cleopatra Hospital Company on the Egyptian Stock Exchange. Cleopatra Hospital Company is the largest private hospital group in Egypt both by number of hospital beds and by operational hospitals, and The Abraaj Group is a private equity firm focused on global growth markets.

The IPO of Cleopatra Hospital Company was more than 28 times oversubscribed on the retail tranche offering and more than six times oversubscribed on the institutional tranche. Over 65% of the orders came from international investors. The IPO price of E£9 per share reflects a market capitalisation of E£1.44bn (approx. $162m) for Cleopatra Hospital Company. Its listing marks the first IPO of one of The Abraaj Group’s portfolio companies on the Egyptian Stock Exchange, and funds advised by The Abraaj Group continue to retain 80% of the outstanding shares of the company.

Freshfields has advised The Abraaj Group on various matters pertaining to the execution of its healthcare strategy in North Africa. This includes advising both on The Abraaj Group’s investment in the hospitals forming Cleopatra Hospital Company since 2014 and on the listing of another of its portfolio healthcare companies, Integrated Diagnostics Holdings, on the London Stock Exchange in 2015.

The Freshfields team was led by London-based partner Stuart Grider and Dubai-based partner Pervez Akhtar. Commenting on the IPO, Stuart said, ‘We are delighted to advise The Abraaj Group on what is the second IPO on the Egyptian Stock Market of this year. The overwhelming interest from international investors reflects not only an increased confidence in  the Egyptian market, but also the strength of the growing Middle East and North Africa (MENA) healthcare sector. This deal builds on the solidity of the firm’s MENA capital markets practice and will undoubtedly strengthen Cleopatra Hospital Company’s strategic growth potential’.