Orascom Development: delisting in Egypt
Real estate developer Orascom Development Holding intends to delist from the Egyptian stock exchange. This is intended to increase the diversification and liquidity of the shares on the Swiss stock exchange.
The Board of Directors of Orascom Development Holding AG (ODH) decided on December 26, 2016 to voluntarily delist all Egyptian Depositary Receipts (EDR) of the Company from the Egyptian Exchange. The decision is still subject to the receipt of all necessary regulatory approvals.
The purpose of the delisting is to increase the dispersion and liquidity of the company's shares on the SIX Swiss Exchange, where ODH has its primary listing, the company says. The delisting is also intended to resolve certain inconsistencies that previously arose due to the listing on the Egyptian Exchange of both EDR and the shares of its largest Egyptian subsidiary, Orascom Hotels and Development (OHD). As a result, the Company also expects an increase in liquidity and trading volume of OHD shares.
Orascom Development is a large developer of integrated resorts/cities that include hotels, private villas, apartments, leisure facilities such as golf courses and marinas, as well as supporting infrastructure. The group currently operates eight destinations: Four in Egypt (El Gouna, Taba Heights, Makadi and Haram City), The Cove in the United Arab Emirates, Jebel Sifah and Salalah Beach in Oman, and Andermatt in Switzerland.
Orascom Development has a dual listing with a primary listing on the main segment of the SIX Swiss Exchange and a secondary listing on the EGX Egyptian Exchange.
