Cairo: Qalaa Holdings announced the successful completion of transferring the capital-increase shares from QHRI to the shareholders who participated in the company’s debt-purchase transaction, generating outstanding investment returns for them. This milestone marks the full conclusion of all procedures related to the debt-purchase transaction.
This step follows the completion of Qalaa’s capital increase, which raised the company’s issued and paid-in capital to EGP 21.1 billion, divided across 4.2 billion shares, up from EGP 9.1 billion. The increase was executed following QHRI’s purchase of USD 240.7 million in foreign senior debt as part of a settlement agreement with foreign banks and international lenders.
Dr. Ahmed Heikal, Chairman and Founder of Qalaa Holdings, said: “Completing the transfer of the newly-issued shares to participants in the debt-purchase transaction has enabled them to realize exceptional returns, with an average cost of EGP 0.585 per share—while the share is currently trading at significantly higher levels, with future growth opportunities ahead. All Shareholders were given the opportunity to participate, in line with Qalaa Holdings’ commitment to enhancing the value of their investments. This process has also substantially strengthened Qalaa’s financial position, which will support enhanced profitability in the years ahead.”
Hisham El-Khazindar, Co-Founder and Managing Director of Qalaa Holdings, said: “The completion of transferring the newly-issued shares to shareholders and the finalization of the capital increase represent a major milestone for Qalaa Holdings in reinforcing its financial position by reducing the Group’s debt. The successful execution of this transaction was the result of close coordination and full cooperation with governmental and regulatory authorities to ensure implementation aligned with the highest standards of transparency—making it one of the most notable restructuring transactions in the Egyptian market in recent years.”
It is worth noting that the conversion of USD 240.7 million (equivalent to EGP 12 billion) of debt into equity through QHRI has significantly strengthened Qalaa’s financial position by reducing its total debt burden and shifting Qalaa’s standalone equity to positive territory. It has also reduced future risks related to interest-rate and exchange-rate volatility, given that the debt was denominated in USD.
Additionally, the valuation report issued by the independent financial advisor on 13 July 2025, based on the 2024 financial statements of Qalaa Holdings, estimated the fair value of the share after the capital increase at approximately EGP 4.92, after excluding unsubscribed shares—reflecting strong and attractive growth prospects for investors. An independent financial advisor is currently being appointed to prepare an updated fair-value valuation of the share.
Previous Qalaa Holdings press releases on this subject and others may be viewed online from your computer, tablet or mobile device at qalaaholdings.com/newsroom
Qalaa Holdings (CCAP.CA on the Egyptian Stock Exchange) is an African leader in energy and infrastructure. Qalaa Holdings builds responsible and sustainable businesses that add value to the economies and societies in which it does business. Formerly known as Citadel Capital, Qalaa Holdings controls subsidiaries in industries including Energy, Cement, Agrifoods, Transportation & Logistics, Mining and Printing & Packaging. To learn more, please visit qalaaholdings.com.
