Fawry for e-payment acquires Banque Misr, CIB stakes in Fawry Plus

The ordinary general assembly of Fawry for e-payments agreed to buy the stakes of Banque Misr and the Commercial International Bank (CIB) in the former’s affiliated platform Fawry Plus.

The last trading price for Fawry’s shares was EGP 19.350 per share, up 1.91%, and the company’s market value is currently estimated at EGP 32.8bn.

The company said in a statement to the Egyptian Exchange, on Monday, that in light of Banque Misr and CIB’s desire to sell their shares in Fawry Plus, the general assembly agreed that the company would buy them.

Banque Misr’s stake in Fawry Plus reached 14.1 million shares, representing 14.99% at a value of EGP 1.15 per share.

The stake of CIB Egypt in Fawry Plus was about 14.1 million shares, or 14.99%, at a value of EGP 1.15 per share.

Meanwhile, Fawry’s profits jumped during the first quarter (Q1) of this year by 146.2%, reaching EGP 76.1m, compared to EGP 30.9m in Q1 of last year.

The company said in its latest statement on business results that its revenues rose by 35.3% during Q1 2021, to reach EGP 349m on an annual basis.

The company added that the total payments executed on its platform amounted to EGP 24.8bn in Q1 2021, a growth of 66.6%, compared to Q1 2020. The company conducted 276.1 million transactions in Q1 2021, an increase of 2.8%, compared to the same period in 2020.

Digital payments accounted for 63.8% of Fawry’s revenues, while banking services represented 20.4%, and microfinance represented 8%.

The number of points of sale (POS) grew 53.2% on an annual basis, in conjunction with the increase in the number of merchants qualified to accept bank payments by four times, according to the statement.

The net profit of the company increased last year by 81% on an annual basis, to reach EGP 186.2m, supported by a revenue growth of 39.6% during the past year, to reach EGP 1.2bn, compared to 2019.

The Coronavirus crisis has benefited e-payment solutions in Egypt and around the world, in light of the social distancing resulting from the pandemic.

The number of transactions executed through Fawry last year reached 1.1 billion, an increase of 27.2%, compared to 868 million transactions in 2019.

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