Bonyan announces intention to float: Bonyan for Development and Trade is looking to list up to 33% of its shares in a secondary offering on the EGX, whereby the sole shareholder Sky Realty Holding will rake in all of the proceeds from the sale, according to its intention to float (ITF) document (pdf). Once the firm secures final regulatory approval, some 551.3 mn ordinary shares will be up for grabs in an offering open to both retail and institutional investors. The company expects the offering to take place in 2Q 2025.
We knew this was coming: Bonyan hit the road for its IPO after Eid, kicking off investor meetings with local institutions ahead of a regional push in Saudi Arabia, the UAE, and Oman. The firm first announced plans to IPO in January, initially targeting a February-to-April window. Bonyan’s CEO Tarek Abdelrahman told us in March that 90% of the offering will be allocated to institutions via private placement, with the remaining 10% reserved for retail buyers. Subscription details and dates are yet to be disclosed.
Where the math lands: The stake on offer clocks in at EGP 4.4 bn according to our calculations based on a fair value of EGP 7.94 a share, per a Mubasher note seen by EnterpriseAM. That pegs Bonyan’s market cap at EGP 13 bn, according to our math, though the IPO’s mid-point pricing points to a leaner EGP 12.3 bn, as flagged by a separate CI Capital note we’ve seen.
This is a first for the EGX: Bonyan is on track to be the first real estate operating company (REOC) to hit the EGX — a model that differs from developers and REITs by focusing on owning, managing, and leasing out income-generating properties.
Backed by bulk buys, FCY + high occupancy: The company says it operates a portfolio of commercial assets with a 93% occupancy rate and focuses on bulk acquisitions, which it claims allows it to purchase assets 30-40% below market value. Roughly 60% of Bonyan’s rental contracts are USD-linked, providing a degree of insulation against local inflation, according to the ITF.
A snapshot of its financials: Bonyan’s bottom line came in at EGP 2.7 bn in 2024, while its top line stood at EGP 4.1 bn. The firm’s EBITDA margin rose to 93% last year, up from 82% in 2021.
A capital increase will follow: Sky Realty Holding is partially divesting its stake in the real estate investment firm with plans to reinvest a portion of the IPO proceeds back into Bonyan by subscribing to a capital increase at the same offer price.
The plan for the proceeds: Bonyan is looking to acquire 20-30k sqm of leasable space annually, valued at over EGP 4 bn, allowing it to double its 15k sqm footprint as of January, the CEO previously said. The company is also in talks to acquire four to five buildings, with a focus on administrative and logistics assets.
ADVISORS- CI Capital and Arqaam Capital are leading the IPO as coordinators and bookrunners, with Mubasher acting as the offering agent. Matouk Bassiouny & Hennawy will act as counsel.
What they said: “Although real estate remains one of the largest and most preferred investment sectors in Egypt, real estate investment companies are notably underrepresented on the EGX. We believe that Bonyan’s offering will address this gap, and help overcome many of the challenges currently associated with traditional real estate investments,” Abdelrahman said.
The 2025 IPO pipeline: Several private companies announced plans to go public on the EGX this year, including Saudi-owned Rakhaa, El Attal Holding, Al Ahly Group for Modern Agriculture, Go Green for Agricultural Investment, Korra Energi, Smart Villages, Al Ahly Sabbour, Enara, Basata Holding for Financial Investments, Tabarak Holding,
Damietta Container and Cargo Handling, Friday Ice Cream, Sunway Egypt, National Printing, and Port Said Container & Cargo.
The outlook for IPOs is still bright beyond 2025, with GoBus, MO Group for Food Industries, SIAC Holding, Adeer, Arabia Holding, Al Gioshy Steel, and Canal Company for Mooring and Lights also planning to hit the market.
