Noor Financial eyes stake in Egypt bank

Kuwait City: Kuwait's Noor Financial Investment Co said yesterday it was in talks with potential banking partners about bidding for Egypt's Banque du Caire, which the Egyptian government is looking to sell.

Commercial Bank of Kuwait, which last year lost out to rival National Bank of Kuwait in a bid to buy Al Watany Bank of Egypt, also expressed an interest in Egypt's third-largest state bank.

"Egypt is one of the best emerging markets,' Noor managing director Nasser Al Merri said. "Potential growth is there, political stability is there and demand is there...services are still behind in the banking sector." Noor, the financial arm of National Industries Group , is looking to own as much as 29 per cent of Banque du Caire, Al Merri said.

The Egyptian government plans to sell as much as 67 per cent of Banque du Caire by the end of April.

Noor and Saudi Arabia's Samba Financial Group are among 12 banks submitting initial offers for the stake, Egyptian daily Al Alam Al Youm reported yesterday.

"We will go maybe in an alliance with others into acquiring it, if there is a chance," CBK Chairman Abdul Majeed Al Shatti said, following the bank's general assembly meeting. Shatti declined to give more details.

In the race

mashreq, Dubai's third-largest lender by market value, said in September it may bid for Banque du Caire, which Egypt is looking to sell for as much as $1.6 billion.

A group led by mashreq last year made an unsuccessful bid for Egypt's state-owned Bank of Alexandria. mashreq chief executive Abdul Aziz Al Ghurair said a year ago the lender was considering other targets in the North African country.