Egyptian investment bank EFG Hermes and Qatari Islamic investment bank QInvest are discussing a possible merger, both banks said in a joint statement on Monday.
The statement said the two banks “agreed to explore a potential strategic alliance.”
“The aim is to create a leading investment bank with operations in the Arab world and beyond, comprehensively covering the Middle East, Africa, Turkey, and South and Southeast Asia,” the statement said.
The Qatar Financial Centre Authority licensed QInvest in April 2007. It has authorized capital of US$1 billion and paid up capital of US$750 million.
Established in 1984, EFG Hermes is the leading investment bank in the Arab world. The firm specializes in securities brokerage, investment banking, asset management, private equity and research. EFG Hermes is listed on both the Egyptian and London stock exchanges.
QInvest said: “We look forward to establishing a potential alliance with EFG Hermes that would position our firms to leverage continuing economic growth and play a pivotal role in the long-term development of the region.”
EFG Hermes commented, saying: “We share a common vision with respect to the future prospects of various markets, including Egypt and other high-potential economies in Africa and Asia.”
EFG Hermes Private Equity is not included in the discussions, according to the statement.
