Sharm el sheikh: Chairman of the Egyptian Exchange (EGX) Omar Reda announced that the exchange is focusing on attracting large family-owned businesses to list on the market, as these firms constitute a crucial component of Egypt's economic landscape.
According to State Information Service Egypt, listing on the stock exchange is seen as a vital tool to ensure the sustainability and continuity of these companies across generations. This is particularly important in light of the challenges often faced during management transitions to the third generation. Reda made these remarks while addressing reporters at the second edition of the Money Made Simple Conference held in Sharm El Sheikh on Saturday, May 16, 2026.
The Egyptian Exchange is actively engaging with family-owned companies to inform them about the benefits of listing. These benefits include improved governance, business continuity, and access to necessary financing for growth and expansion. The exchange also emphasizes the advantage of separating management from ownership, which helps preserve major economic entities and ensure their long-term sustainability.
Additionally, Reda revealed that the market is in discussions with successful startups that have reached advanced growth stages. Many founding investors or venture capital funds in these companies are looking for opportunities for partial or full exits or for attracting new investors to support their expansion plans. However, he dismissed the idea of creating a separate stock exchange for startups.
Reda stated that the Egyptian Exchange is poised to become the natural exit gateway for these companies in the coming years. This could be achieved through public or private offerings, capital increases, or the attraction of strategic partners. Such mechanisms offer flexible solutions that help companies continue growing while allowing investors to earn returns on their investments.
He highlighted the increasing attention the Egyptian state is giving to entrepreneurship and startups, supported by government initiatives and a specialized ministerial committee. This focus aids in creating a new generation of companies that will eventually be ready to benefit from capital market tools.
The exchange does not aim to target companies in their very early stages but rather focuses on firms that have already achieved success and require financing, sustainability, and structured growth. Reda emphasized that raising awareness about the benefits of listing and financing through the capital market is a core aspect of the exchange's strategy. This is particularly relevant amid technological and digital advancements that have increased companies' understanding of the importance of governance and disclosure, thereby ensuring business sustainability and enhancing long-term competitiveness.