Egyptian property developer plans $85.8 mln rights issue
Palm Hills, Egypt's second-biggest listed property developer, plans to increase its capital by 600 million Egyptian pounds ($85.8 million) through a rights issue, the Egyptian Financial Supervisory Authority (EFSA) said on Thursday.
A statement posted on the Egyptian bourse website said Palm Hills is seeking to offer 600 million pounds worth of shares to existing shareholders at their nominal value of 2 pounds per share.
The statement gave no timeframe for the capital increase or the regulatory approval process.
Palm Hills has been hurt by investigations into its purchase of state land prior to Egypt's popular uprising in 2011 and by client cancellations since then. It returned to profit in the first quarter of this year after two years of losses.