EFG Hermes eyes new expansions
London, November 3, 2012
Egyptian investment bank EFG Hermes aims to expand into Turkey, Iraq and Libya and plans to grow its asset management arm by 50 per cent after the completion of its joint venture with Qatar's QInvest.
EFG Hermes announced its tie-up with QInvest in May and the deal should close this month, said Kashif Siddiqui, managing director and head of asset management at EFG Hermes, who will be co-chief executive of the joint venture.
QInvest will hold 60 per cent and EFG's holding company will own 40 per cent of the venture, which will be branded EFG Hermes.
The enlarged business will aim to increase its assets under management to about $5 billion within a couple of years, from $3.4 billion now, Siddiqui said.
The deal will create the biggest investment bank across the Middle East and North Africa region and also pull in brokerage and asset management operations.
It plans to expand with the help of $250 million that QInvest is injecting into the venture.
"This deal brings a partner with similar ambitions and deep pockets, and will enable us to penetrate new markets," Siddiqui said in London.
Based in Cairo, EFG Hermes is expected to benefit from QInvest's strong relationships with Qatar's sovereign wealth funds, who are active investors across a range of sectors globally, including financials, telecoms and property. – TradeArabia News Service