Egypt's Minister of Petroleum and Mineral Resources, Karim Badawi, said the planned stock market listings of three state-owned petroleum companies mark the official launch of the first phase of the sector's privatization program, describing the move as a milestone in expanding private-sector participation and unlocking greater value from state-owned assets.
Speaking during the opening session of the Egyptian Exchange (EGX), Badawi said the listings form part of the government's broader privatization strategy aimed at widening ownership, enhancing corporate competitiveness and supporting long-term economic growth.
The companies selected for preliminary listing are Engineering for the Petroleum and Process Industries (ENPPI), with issued capital of $357 million, Egyptian Linear Alkyl Benzene Company (ELAB), with $210 million in issued capital, and Petroleum Marine Services (PMS), with issued capital of $120 million.
Badawi said the three companies were chosen following a comprehensive evaluation of their operational performance and financial strength, noting that each represents a successful business model within Egypt's petroleum industry.
According to the minister, ENPPI has established itself as one of the region's leading engineering and energy services companies, delivering major projects both domestically and internationally. PMS serves as a key provider of offshore infrastructure and oil and gas field services, while ELAB has become one of Egypt's flagship petrochemical producers, generating significant value through its manufacturing operations.
He added that the ministry is moving forward with preparations to list additional petroleum companies during the next phase of the program. The initiative is intended to improve asset utilization, broaden the investor base, strengthen corporate competitiveness and attract both domestic and international investment.
Badawi emphasized that joining the Egyptian Exchange represents more than a capital-raising exercise, describing it as the beginning of a new stage in the modernization of state-owned petroleum companies through stronger governance, greater transparency and enhanced disclosure standards.
He also said access to capital markets would provide listed companies with more diversified financing options to support expansion plans, improve management efficiency and create new opportunities for strategic partnerships.
The preliminary listing is a preparatory step before shares are offered for public trading. Final offerings will proceed after independent financial advisors complete valuations to determine the fair market value of each company, a process designed to maximize returns for both the Egyptian state and future investors.
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